Technical analysis
The EURUSD has large amount of bullish price divergence on the MACD indicator making it very risky to sell the pair around current trading level.
According to the Momentum indicator the EURUSD pair has also formed bullish divergence, meaning that upside momentum is actually rising while the price is falling.
What the possible outcomes are
In our most likely scenario, the EURUSD pair will eventually rise back towards the 1.1970 level in order for both the MACD and Momentum divergence to be reversed.
Alternatively, the EURUSD could follow the broader market lower and fall towards the 1.1700 level, and possibly much lower if the US dollar index continues to push to the upside.
Key levels
Support 1.1700 1.1600
Resistance 1.1845 1.1970
