Weekly Pivot Point: 1.3017
Time Frame: H1
Weekly Pivot Points:
R3: 1.3692
R2: 1.3430
R1: 1.3279
PP: 1.3017
S1: 1.2866
S2: 1.2604
S3: 1.2453
Trading Recommendations:
According to the previous events, the price is still located between 1.2921 and 1.3168.
- Buy deals are recommended above 1.2760 with the targets seen at 1.3170 and 1.3275 levels.
- Look for further downward movement below 1.3280 with the first target seen at 1.3083 and 1.2765 levels.
Overview:
The EUR/USD pair has broken the resistance level and turned towards the support level near the two week point of 1.2760. Therefore, the pair has already formed a strong support at 1.2760. Moreover, having failed to close below 1.2700, the pair started showing a bullish reaction at this level. It is necessary to mention that these levels coincide with strong levels for bulls on H1 chart; the pair has also formed a strong support at the level of 1.2760. So, the pair will move upwards which is a convincing fact; the structure of the upside movement looks as non-corrective indicating a bullish opportunity above 1.2760. This can be a good sign for buy deals above 1.2760 with the first target at 1.3113 initiating an uptrend in order to continue the bullish mood towards the point of 1.3170 and further to 1.3275. If the trend breaks the weekly pivot point (1.3017), then the pair will go upwards in these targets. However, it should also be noted that the price is still between 1.2921 and 1.3168, as the last strong resistance level (1.3280) is still able to begin a downtrend at this level. So the market indicates a bearish opportunity at the level 1.3280 on H4 chart with the first target 1.3083 and continues towards 1.2765.
Observation (s):
- If the trend is ascending, then the strength of the currency will be defined as following: EUR is an uptrend and USD is a downtrend.
- Most of the traders use the Fibonacci retracement to determine accurately the psychological support and resistance levels.
- Stop Loss should NEVER exceed your maximum exposure amounts.
- Usually the market has a high volatile, if the last day had a huge volatility.
If you have any questions or requests, please feel free to contact me: mourad.elkeddani@analytics.instaforex.com.
