EURUSD Bearish Correction Resistance Rejection Support TargeT

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Trading point update



This chart provides a technical analysis of EUR/USD on the 3-hour timeframe with key insights:

Analysis & Expectations

1. Overbought Condition & Rejection

Price reached a strong resistance zone (highlighted in yellow) around 1.11425 - 1.10751, leading to a sharp rejection.

The RSI is in the overbought zone (~68.43) and showing a downward slope, indicating a potential bearish correction.



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2. Expected Bearish Correction

A potential drop is expected toward the support level around 1.08501 - 1.07925, aligning with past price action.

The 200 EMA (1.07757) also serves as a significant support level, reinforcing a possible retracement.



3. Target Levels

Short-term Bearish Target: 1.08501 (Support level)

Key Support Zone: 1.07925 - 1.07757 (Near 200 EMA)




Conclusion

The analysis suggests a bearish retracement after the strong bullish move. Traders may look for short opportunities targeting the support level and 200 EMA while watching for confirmation signals before entering.



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