Technical Market Outlook:
The EUR/USD pair has made a new swing low at the level of 1.0489 and is currently in the middle of a pull-back towards the technical resistance located at the level of 1.0616. The 50% Fibonacci retracement level is seen at 1.0613 and 61% Fibonacci retracement is seen at 1.0640. The key short-term technical resistance is located at the level of 1.0735 and only a strong and sustained breakout above this level would change the current situation. Please notice, that despite the possible pull-back, the mid-term outlook remains bearish due to the Bearish Cross of 50 and 100 DMA on the daily time frame chart.
Weekly Pivot Points:
WR3 - 1.06744
WR2 - 1.06610
WR1 - 1.06535
Weekly Pivot - 1.06476
WS1 - 1.06401
WS2 - 1.06342
WS3 - 1.06208
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 was terminated at the level of 1.1286 which is 61% Fibonacci retracement level and the market reversed lower. The intermediate down move is 8 weeks long now and if the level of 1.0636 is broken (technical support), then the bears might extend the down move towards the level of 1.0517.
