Mon, May 16, 2022 @ 17:49 GMT

EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.0664; (P) 1.0700 (R1) 1.0766; More….

Intraday bias in EUR/USD remains on the upside for the moment. As noted before, corrective rise from 1.0339 is still in progress with 1.0569 as another rising leg. Further rally would be seen to 1.0905 resistance and above. We’ll pay attention to topping signal above 1.0905 again, as we’d expect larger down trend to resume later. On the downside, break of 1.0634 minor support will turn intraday bias back to the downside for 1.0569 instead.

In the bigger picture, as long as 1.1298 key resistance holds, whole down trend from 1.6039 (2008 high) is still expected to continue. Break of 1.0339 low will send EUR/USD through parity to 61.8% projection of 1.3993 to 1.0461 from 1.1298 at 0.9115. However, considering bullish convergence condition in weekly MACD, break of 1.1298 will indicate term reversal. this would also be supported by sustained trading above 55 week EMA.

EUR/USD 4 Hours Chart

EUR/USD Daily Chart

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