Euro / U.S. DollarShort
EUR/USD: Strong U.S. Data Signals Possible Reversal Ahead
Updated
As per my market review, I predict that the uptrend of the EUR/USD currency pair is about to be broken (a significant reversal) and so it is likely to decline, especially due to strong U.S. fundamentals. The weekly sweep shows that the price is in a consolidation phase; however, the market has not been able to overcome the resistance zone despite various attempts. Right now, the pair is approaching the low of the previous week, as well as closing a weekly candlestick at the bottom, which increases the risks of further downward movement. The levels of support stand at 1.0949 and 1.0900, with resistances located at 1.1000, 1.1010, and 1.1050. There now remains the question of whether or not the price will close below the 1.0949 support level and if that happens, a deeper move is expected to follow. One extreme scenario is that it is possible to expect a pullback to 1.100 before the bears resume the trend.
Note
EUR is near target. Monitor closely. Stay vigilant.Trade closed: target reached
The first target price of the analytics was $1.08. This level is at the bottom of the white arrow in the green target box. Uninterrupting the analytics' bearish trajectory, the price fell below $1.035 completing all target prices. The configuration of the trade remained unchanged compared to the original analytics. The volatility avoided the $1.120 stop loss setting.
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