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11.05.2020 03:43 PM
Can EURUSD move towards 1.09 and higher again?

EURUSD got rejected at the 38% Fibonacci retracement level last week and pulled back from 1.0863 to 1.0810. Price is now bouncing again but bulls need to push price above recent highs in order to hope for a bigger move higher.

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Red lines - bearish channel

Black line -resistance trend line

Red rectangle - resistance area

Green rectangle -target if red rectangle is broken

EURUSD could very well make a short-term bottom at 1.0810. Confirmation for a bottom will come if price breaks above the red rectangle resistance area. This will increase the chances for a move towards the green rectangle area. Support is at 1.0810. If the RSI breaks above the black resistance trend line, then the chances for a move higher increase. My preferred scenario now is a move towards 1.09-1.0925 before the next leg lower.

Summary
Urgency
Analytic
Alexandros Yfantis
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