Simple Moving Average(SMA) 50-period (red), 200-period (bold, gray)
RSI-14 with Simple Moving Average 5-period of RSI attached.
Elliott Wave Principles
Market and Price Action (patterns, candlesticks)
Intraday pivots and Intermediate-term support and resistance
Multiple Time-frame Analysis
- The bullish scenario is still valid, but the EUR/USD has been choppy so it is no surprise that it missed the 1.3860 high, and instead is turning lower. This is a typical Friday if the market is ranging, but has trended during the week.
- This decline can pick up speed throughout the US session which ends this weeks trading near 4:00PM ET.
- Let's see if the market can test 1.37-1.3680 zone to end the week. It will be important to see how the market reacts next week. A bounce from the 1.3680-1.37 zone (50%, 38.2% fibonacci cluster) with a strong 4H candlestick should resume the uptrend to our bullish targets. A strong 4H candlestick should have a range equal to or larger ATR (14) reading and should be at least 2/3 body.
- Otherwise, we can be swing lower towards 1.3640-1.3650 (61.8%, 50% fibonacci cluster).
- Despite this week's persistent rally, we can easily get a sharp decline in such an uncertain time reflected by the choppy markets all around. Below 1.3640 is the 1.3550-1.3530 zone of support pivots. Below that, we can attack the 1.34 support area, with the most recent low near 1.3430.
Will the EUR/USD Respect the 1.37 Support or will next week be a EUR/USD-negative one? We would love to hear what you think.
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