Technical analytics

EURUSD market technical outlook

EURUSD

Daily chart:

The middle Bollinger band (1.1775-1.1778) failed to hold the euro yesterday and as a result the major remains under pressure in direction of support 1.1680-1.1685 at the lower Bollinger band. 

H4-chart:

Break of the lower Bollinger band provides bears with potential for further decline in direction 1.1685. Optimal sell entry point is a pivot at the middle Bollinger band (1.1775-1.1789), where an upward correction might be directed before resumption of decline.

H1-chart:

On the hourly chart we can observe a low trending potential of ADX indicator. This confines probable intraday volatility of the pair within the 50-point channel (1.1721-1.1770 range).

Conclusions:

Main scenario: Growth to 1.1775-1.1789, then decline in direction 1.1695.

Alternative scenario: Flat in the 1.1721-1.1770 range.

Trading recommendations:

Shorts from 1.1775-1.1789 to 1.1721 and 1.1695.