EUR/USD Found Some Support

EUR/USD found some support at 1.1365 after the rather impressive move to the downside caused by the fundamentals last Friday. The pair formed two inverted hammer candlestick at the aforementioned support level on the four-hour time-frame and promptly bounced off from it, beginning a retracement. It is currently testing the resistance at 1.1420 and if it breaks out above that level it will likely rally towards 1.1450 at least. On the other hand, the trend remains as bearish as ever, so once this retracement is over the move to the downside will probably continue. A breakout below the last low at 1.1365 will likely lead to a further move to the downside towards 1.1200.

EUR/USD Continues Consolidating

The long-term EUR/USD range that began at the end of May this year clearly continues because the pair tested the support around 1.1500 – 1.1530 and bounced off from that level yet again, after forming an inverted hammer candlestick and a hammer candlestick on the daily time-frame above that support level. Currently the pair is consolidating around 1.1600 but the move to the upside will probably continue and the immediate target is around 1.1655 – 1.1660. A breakout above that target could lead, at best, towards 1.1790 – 1.1800, which is the last high and it coincides with the (MA) 89 indicator on the daily time-frame.

EUR/USD Is Falling

After EUR/USD bounced off from the support at 1.1500 for a third time about two weeks ago the pair continued moving to the upside as part of the wide sideways consolidation above the aforementioned support level. That correction clearly continues for now because the pair formed a shooting star candlestick and a hanging man candlestick, both on the daily time-frame, at the resistance at 1.1790. Those candlesticks were a definite signal for a move to the downside and that move has already begun.

The pair is currently testing the support at 1.1680 and it will probably break out below that level to reach 1.1640. A breakout below that level could lead to a further move to the downside towards 1.1500 again.