Technical Market Overview:

The EUR/USD has bounced significantly from the technical support located at the level of 1.1063 after a marginal low was made at the level of 1.1053. The big candlestick is a signal that the bulls are still defending the lower price levels and are not ready to throw the towel yet. The market is about to test the key short-term technical resistance located at the level of 1.1167. The strong and positive momentum is supporting the short-term bullish bias.

Weekly Pivot Points:

WR3 - 1.1293

WR2 - 1.1218

WR1 - 1.1193

Weekly Pivot Pont - 1.1119

WS1 - 1.1089

WS2 - 1.1014

WS3 - 1.0984

Trading Recommendations:

The best strategy for current market conditions is to trade with the larger timeframe trend, which is down. All upward moves will be treated as local corrections in the downtrend. The downtrend is valid as long as it is terminated or the level of 1.1445 clearly violated. There is an Ending Diagonal price pattern visible on the larget timeframes that indicate a possible downtrend termination soon. The key short-term levels are technical support at the level of 1.1027 and the technical resistance at the level of 1.1250.