FxWirePro: BTC/EUR consolidates break below daily cloud, bias lower

• BTC/EUR is consolidating break below daily cloud, bias remains bearish.
   
• The pair is trading at 5456 at the time of writing after hitting fresh multi-week lows at 5280.
   
• Price is extending lower after rejection at 200-DMA, and break below cloud has opened up further downside for tthe pair.
   
• A bearish divergence on Stochs adds to the bearish bias.
   
• Technical studies support weakness. Stochs and RSI sharply lower. DMI supports downside.
   
• We see scope for test of trendline at 4990. Violation there could see further weakness.
   
• On the flipside, 50-DMA is strong resistance at 5928. Break above could see upside till 200-DMA.

Support levels - 5215 (July 12 low), 4990 (trendline), 4899 (June 24 low)

Resistance levels - 5749 (5-DMA), 5928 (50-DMA), 6182 (Aug 6 high)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-BTC-EUR-edges-higher-from-4-week-lows-at-5500-break-below-daily-cloud-to-see-further-weakness-1413477) is progressing well.

Recommendation: Hold for targets.

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at 9.06133 (Neutral) at 1150 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.