EURUSD reached a fourteen-and-a-half-month high of 1.1489 during Wednesday of last week. The price is down in today’s trading so far after advancing by 0.6% during Friday’s trading.

Looking at the Ichimoku analysis, the positive alignment when the Tenkan-sen line (red) crossed above the Kijun-sen (blue) in late June is still in place – this hints to a bullish market bias. Despite this, momentum in the very short-term seems to be on the downside as indicated by the downward trending RSI.

The area around last Wednesday’s high of 1.1489 could prove to be a major barrier to the upside. Should the price climb above, resistance is likely to be met around the 1.15 handle as well.

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On the downside, support might be formed around the current level of the Tenkan-sen at 1.14. If this is violated, additional support could come around last Thursday’s eleven-day low of 1.1370.

Concerning the medium-term outlook, a bullish cross was formed in mid-May when the 50-day moving average (MA) crossed above the 200-day MA. This points to a positive medium-term picture and price action taking place above the cloud, 50- and 200-day MAs since late April is supporting the strength of this signal.

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