EUR/USD Technical Analysis: Dead cat bounce likely
|- The EUR/USD could revisit 1.16-1.1620 before resuming the drop as the hourly chart is showing a bullish divergence of the relative strength index (RSI).
- The hourly RSI has also breached the descending trendline in favor of a minor corrective rally. However, the overall bias is bearish as indicated by the downward sloping Bollinger bands.
Hourly chart
Spot Rate: 1.1585
Daily High: 1.1590
Daily Low: 1.1581
Trend: Dead cat bounce
R1: 1.1602 (July 18 low)
R2: 1.1643 (50-hour moving average)
R3: 1.1670 (100-hour moving average)
Support
S1: 1.1575 (July 19 low)
S2: 1.1527 (June 28 low)
S3: 1.1508 (June 21 low)
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