EUR/USD well supported and may target 1.1794 – Confluence Detector
|The EUR/USD is holding onto high ground, unfazed by the US announcement to impose 10% tariffs on $200 billion of Chinese goods. The technical picture remains favorable for the pair.
The Technical Confluences Indicator shows that the pair has robust support at 1.1680, which is the convergence of the Simple Moving Average 100-15m, the SMA 100-one-day, and the Fibonacci 23.6% one-week.
Close by, 1.1648 is the confluence of the SMA 5-one-day, the Fibonacci 38.2% one-week, the Fibonacci 61.8% one-day, and the SMA 100-one-hour.
Looking up, resistance lines are weaker. We see an initial soft cap at 1.1721 which is the meeting point of the Pivot Point one-day REsistance 1 and the Bolinger Band one-day Upper.
The upside target is 1.1794 which is the confluence of the Pivot Point one-month Resistance 1 and the PP one-day Resistance 3.
All in all, the path of least resistance is up.
Here is how it looks on the tool:
Confluence Detector
The Confluence Detector finds exciting opportunities using Technical Confluences. The TC is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.
This tool assigns a certain amount of “weight” to each indicator, and this “weight” can influence adjacents price levels. These weightings mean that one price level without any indicator or moving average but under the influence of two “strongly weighted” levels accumulate more resistance than their neighbors. In these cases, the tool signals resistance in apparently empty areas.
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