Technical analytics

EURUSD market technical outlook

EURUSD

Daily chart:

ADX indicator state is at a very low flat level. Therefore the major most likely will keep tendency for flat within the lower Bollinger bands (1.0752-1.0862).

H4-chart:

Local downward potential of the euro so far is limited by support 1.0800 at the lower Bollinger band. It’s unlikely that the major will move below it today: Bollinger bands are in a stable sideways trend and ADX readings are low as well.

H1-chart:

Right now the pair is testing dynamic support 1.0834 (lower Bollinger band). As we see on all time-frames trending dynamics of ADX is absent, therefore bulls might be active at this level also.

In case upward bounce is confirmed, the major might get a short-term recovery to 1.0872. 

 

Expectations:

Main scenario: Upward bounce off 1.0834 to 1.0872 with following continuation of flat in the same range.

Alternative scenario: Deeper correction to 1.0800 and then upward reversal.

Trading recommendations:

  1. Longs from 1.0834 and 1.0800 to 1.0872.

  2. Shorts from 1.0872 to 1.0834 and 1.0800.

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