- EUR/USD has been bearish on the H4 chart.
- The pair trades below the last weekly swing low.
- The H1 chart has been bearish; It is on consolidation now.
- Intraday minor charts have been choppy.
EUR/USD- Technical Analysis- H4 Chart
The chart shows that the price made a significant bearish move breaching the simple moving average 30’s support. Subsequently, it made another breakout at the last weekly low. It means that the sellers are going to keep their eyes on the pair to go short from the value areas. As of writing, the pair trades right around the broken horizontal level. A bearish reversal signal may attract the sellers to drive the price towards the downside. The price may find its next support around 1.06500.
On the contrary, the buyers must wait for the price to make a strong bullish move or produce a bullish reversal pattern to look for long opportunities.
Price Action Analysis- H1 Chart
The chart shows that the price roams around the level of 1.07800. Being a very significant level both on the H4 and the H1 chart, the traders are going to keep their eyes on the price action around the level to find their next direction. The H1 chart buyers may wait for the price to make a bullish breakout at the level to go long in the pair. The price may find its next resistance around 1.08500.
On the contrary, the sellers are going to go short below the level of 1.07670. The price, in that case, may find its support around 1.07230.
Considering both charts, it seems that the bear is clearly ahead. However, trading around a massive resistance may end up offering long entries, if the price makes a bullish breakout.
Written by: Md Tareq Sikder, Senior Analyst Forex Prop News
Contact and follow Tareq on Twitter: @tareqfpn