The EUR/USD pair is trading as low as 1.0866 in the early the US session as the pair attracted sellers on fears of possible Brexit from Eurozone. The pair initially bounced back towards 1.0885 level. However after finding minor resistance at 1.0890 upside was short lived, and the pair declined towards lower levels.
- Technically the pair has extended its decline below its 9 DMA, the RSI in the 4 hour chart is indicating downwards at 31, meanwhile the 55, 30 and 20 MA's are pointing strong bearish momentum towards lower side. Overall the technical indicators are depicting further downtrend for this pair.
- To the upside, the strong resistance can be seen 1.0934, a break above this level would take the pair towards next resistance level at 1.0965 levels.
- To the downside immediate support can be seen at 1.0845 levels, a break below this level will open the door towards next level at 1.0795.
Recommendation: Go short around 1.0900, targets 1.0820, 1.0750, SL 1.0980
Resistance Levels
R1: 1.0885 (Daily high)
R2: 1.0934 (61.8% Retracement level)
R3: 1.0965 (Feb 29th high)
Support Levels
S1: 1.0845 (50% Retracement level)
S2: 1.0795 (38.2% Retracement level)
S3: 1.0708 (Jan 7th lows)
