FX.co ★ EUR/USD

D1 chart - EURUSD pair. The wave structure formally still points upward, although in essence it is already neutral. The MACD indicator is in the lower oversold area and below its signal line. Earlier the growth pattern — a descending wedge — was broken to the upside. It is not even a daily one but a weekly one, this wedge is that large. After it was broken to the upside and rose, a pullback down occurred. And it initially reached the expected support level of 1.1463. From it there was an attempt to rise, but instead of rising an accumulation zone formed. Apparently far more buyers accumulated, as a result the price was dragged sharply downward. And in the market overall the US dollar was strengthening. The level was pushed through, so in essence there should be a retracement back to it for a test since after the breakout there has not yet been a test. An additional factor indicating a corrective rise toward the level is the CCI indicator, which shows a bullish divergence. And overall it's about time for a correction, other pairs are also standing at their highs or lows, there are technical signals for a correction. The same divergence, for example, is present in some places on the four-hour charts. There's no point in selling at the bottom of the move; you still need to wait for a retracement to the level and then consider entering short on smaller timeframes. Apparently some fundamental factors influenced the strengthening of the US dollar. Although perhaps this was still an effect continuing from the Fed interest-rate decision, which was raised for the first time in three years. After they did that, the price flowed down and even strong support at 1.1463 could not stop the decline. The level was broken and the price plunged like a stone downward, updating the year's low. And so far there are no signs of growth. That happens too, it's called a steamroller; it happens periodically and flattens everyone who is unprotected. In my opinion a corrective rise at least to the horizontal resistance level would have looked quite good. After the next breakdown last week the same bullish divergence on CCI only increased. And as you can see the signal has already started to pull the price up quite well from the lows, the clear target is 1.1353. So far the 23.6 level on the Fibonacci grid has been reached.