EUR/USD has no significant support until 1.1471 on NFP day – Confluence Detector

The EUR/USD lost some ground as the greenback continued advancing on Thursday. The central event of the day is the US Non-Farm Payrolls report, and significant support is below the 2018 low. 

The Technical Confluences Indicator shows that the pair may find weak support at 1.1586 which is the convergence of the Pivot Point one-month Support 1, the 4h-Low, and the Bolinger Band 15m-Lower. Another thin line of support is at 1.1508, the 2018 low.

Yet the most substantial downside cushion is only at 1.1471 which is the confluence of three Pivot Points, the one-day Support 3, the one-week Support 3, and the one-month Support 2.

Moving up will be harder. Immediate resistance is at 1.1604 which is the meeting point of the Simple Moving Average 5-4h, the Bolinger Band one-hour-Middle, the Pivot Point one-week Support, and the Fibonacci 23.6% one-day.

Considerable upside resistance is at 1.1677 which is the congestion of the Simple Moving Average 50-one-day, the SMA 200-1h, the SMA 50-4h, the SMA 100-4h, the SMA 200-4h, the SMA 100-1h, the Fibonacci 38.2% one-week, with more notable levels around it.

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.

Learn more about Technical Confluence