Technical Market Outlook:
The EUR/USD pair has made another swing high at the level of 1.1261 and is approaching the next target for bulls seen at the level of 1.1286, which is the 61% Fibonacci retracement level of the big wave down on the Weekly time frame chart. The momentum is weak and negative on the H4 time frame chart after the bears broke below the intraday technical support seen at the level of 1.1175 (now resistance). If there is a breakout lower, the next target for bears is seen at the level of 1.1020 and 1.1010 and the Fibonacci retracement levels are 1.1111, 1.1059 and 1.1007. Only a sustained breakout below the moving average dynamic support around 1.1067 would change the outlook to more negative.
Weekly Pivot Points:
WR3 - 1.12534
WR2 - 1.12384
WR1 - 1.12326
Weekly Pivot - 1.12234
WS1 - 1.12176
WS2 - 1.12084
WS3 - 1.11934
Trading Outlook:
Since the beginning of October 2022 the EUR/USD is in the corrective cycle to the upside, but the main, long-term trend remains bearish. This corrective cycle might be terminated at the level of 1.1286 which is 61% Fibonacci retracement level when it is hit, so please keep an eye on this level and the way the market participants (bulls and bears) will deal with it.
