EUR/USD is trading around 1.1638, below the 21 SMA and within the downtrend channel formed since December 22. On the H4 chart, we can see that EUR/USD is under bearish pressure and is likely to continue falling in the coming days until it reaches the 2/8 Murray located at 1.1596.
The euro attempted to break through the top of the downtrend channel, which coincided with the 200 EMA, acting as a strong barrier. From that level, we are seeing a technical correction.
If the euro reaches 2/8 Murray or the bottom of the downtrend channel in the coming hours, we could expect this area to be a good point to open long positions, as the instrument is technically reaching exhaustion levels and a recovery is likely to follow.
If the euro consolidates above the 3/8 Murray located at 1.1657, we could expect an upward movement so that EUR/USD could reach the 200 EMA around 1.1685. If there is a sharp break in the downtrend channel, we could expect it to rise quickly and reach the 5/8 Murray at 1.1779 and finally the 6/8 Murray at 1.1840.
Our outlook is bullish for the euro in the coming days, so we will look for opportunities to buy around 1.1596 or in the event of a recovery above 1.1657.
QUICK LINKS
ForexMart is authorized and regulated in various jurisdictions.
(Reg No.23071, IBC 2015) with a registered office at First Floor, SVG Teachers Co-operative Credit Union Limited Uptown Building, Corner of James and Middle Street, Kingstown, Saint Vincent and the Grenadines
Restricted Regions: the United States of America, North Korea, Sudan, Syria and some other regions.
Contact Us 
