EUR/USD: technical analysis 10.09.2019
EUR/USD is in the stage of downward correction after raisung to the level of 1.10677. At the moment the price has met the support at the level of 1.10400 (the middle line of Bollinger Bands). If the “bulls” manage to raise the rate above the level of 1.10677, the upward movement can continue to the area of 1.10779-1.10843. This area can prevent the instrument from growing, as the possibility of the reverse of the price is high there. The downward trend will be restored after the price is set below the level of 1.10400. In this case, the next targets of sellers will be the level of 1.10168 (Murray [5/8]). The level of 1.10168 seem a strong support level, which can activate an upward rebound. Meanwhile, pair’s sustained trading below this level will let the price to fall to the area of 1.10092-1.09863 (Murray [4/8]). Technical picture is mixed. Bollinger Bands are pointed sideways. MACD volumes are in the positive zone and are moving along the zero line. Stochastic is pointed downwards, reflecting the high possibility of the downward movement formation.
Support and resistance
Support levels: 1.10400, 1.10168, 1.10092, 1.09863.
Resistance levels: 1.10474, 1.10677, 1.10843, 1.11084.
Short positions can be opened below the level of 1.10400 with the target at around 1.10168 and stop-loss 1.10502.
Long positions can be opened above the level of 1.10677 with the target at around 1.10779-1.10843 and stop-loss 1.10621.