Forex Technical Update
The EUR/USD has been having trouble at the 1.3260 pivot and has fallen from that level after several forays. The 4/30 session to start a new week of trading has so far continued to respect this resistance but the market is also held above 1.32. Now much clues provided at the moment regarding direction as the the market is flattening within a rising channel.
To the downside a break below the 1.3170 pivot will probably be needed to clear a rising channel support. This will also break below the 200-hour simple moving average. The RSI pushing below 30 would be a very good clue for a pick up of bearish momentum.
Then if we can hold below 1.32, there is a case for a short-term bearish market toward the medium term 1.2970-1.30 support zone as seen in the 4H chart. To the upside, 1.33 remains to be tested as resistance. The declining trendline seen in the 4H chart will now be lower than 1.33, but a break to the upside still should clear the 1.33 psychological handle to open up higher prices. 1.3380 and 1.3480 area the next resistance pivots seen in the 4H chart.
Fan Yang CMT is a forex trader, analyst, educator and Chief Technical Strategist of FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
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