Sun, Nov 29, 2020 @ 03:49 GMT
Home Contributors Technical Analysis EUR/USD Outlook: Bears May Extend Towards 1.07 Zone After Limited Consolidation

EUR/USD Outlook: Bears May Extend Towards 1.07 Zone After Limited Consolidation

The Euro is consolidating under new nearly 34-month low at 1.0827 on Friday but maintains strong bearish tone and on track for the second straight massive weekly loss (the pair fell 1.32% last week and is so far down 0.84% this week).

Fresh negative signal was generated on Thursday’s close below Fibo support at 1.0863 (76.4% of 1.0340.1.2555), as bearish extension to 1.0827 pressured next target at 1.0820 (24 Apr 2017 low).

Bears look to fill the gap from mid-Apr 2017 (1.0723/1.0916) that would spark further weakness.

Oversold daily indicators are in sideways mode and so far do not produce more significant signal for bounce, however some end-of-week profit-taking would add to recovery attempts, which are so far expected to be limited.

Broken Fibo support (1.0863) and falling 5DMA / former low (1.0876/78) mark initial resistances which should ideally cap and guard pivotal barriers at 1.0929 (Fibo 38.2% of 1.1095/1.0827) and 1.0941 (falling 10DMA).

Res: 1.0863, 1.0878, 1.0890, 1.0925
Sup: 1.0827, 1.0820, 1.0800, 1.0777

Windsor Brokers Ltdhttp://www.windsorbrokers.com/
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.

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