FX.co ★ EUR/USD

D1 chart - pair EURUSD. The wave structure still formally projects upward, although in essence it is already neutral. indicator MACD is in the lower oversold area and below its signal line. Earlier the bullish formation, a descending wedge, was broken to the upside. It's not even daily but weekly, this wedge is that big. After its upward breakout and rise a pullback downward occurred. And initially it retraced to the expected support level 1.1463. There were attempts to rise from it, instead of a rise an accumulation zone formed. Apparently considerably more buyers accumulated, as a result the price was dragged sharply down. And overall in the market the US dollar was strengthening. The level was pushed through, essentially there should be a retracement back to it to test it since after the breakout there has not yet been a test. An additional factor indicating a corrective rise to the level is the CCI indicator, which shows a bullish divergence. And overall it is time for a correction, other pairs are also standing at their peaks or lows, there are technical signals for a correction there. The same divergence, for example, is present in places on the four-hour charts. There is no point in selling at the bottom of the move, you still need to wait for a retracement to the level and there on smaller timeframes consider entering to the downside.Possibly the price will seek to update this year's low, but most likely only via a retracement. An alternative scenario would be if the resistance level 1.1463 merely gives a bounce downward and is then broken to the upside. It would then change its status from resistance to support. In that case the price will likely reach the next level 1.1573. Apparently some fundamental factors influenced the strengthening of the US dollar. Although this may still be a continued effect from the Fed interest rate decision, which raised rates for the first time in three years. After that was done the price flowed down and even the strong support at 1.1463 could not stop the decline. I expect an upward correction that is clearly overdue.

On the hourly chart there is currently a squeezed position, the narrow zone between levels 1.1380 and 1.1390 will break soon. If it breaks to the downside it's better to skip it, there is a high probability of a false breakout. If upwards then buy and wait for the third wave to the 161.8 level on the Fibonacci target grid.