EURUSD Neutral Bias

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

These trading ideas can only be applied to the intraday trading strategy and remain valid for 24 hours after publication. They are based on historical data and analysis and do not guarantee constant profit. You remain solely responsible for your decisions and the financial risks you take. In case your pending order is not executed within a single trading day, please, do not forget to cancel it.

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