EUR/USD is locked in a clear range with a tendency to the downside – Confluence Detector


EUR/USD has been unable to extend its gains after US inflation beat expectations. Where next for the world's most popular currency pair? 

The Technical Confluences Indicator shows that EUR/USD is mired in the mud of heavyweight technical levels around 1.1273. These include the Fibonacci 38.2% one-week, the Fibonacci 38.2% one-day, the Simple Moving Average 50-15m, the SMA 100-15m, the Bollinger Band 15min-Lower, the SMA 10-one-day, the previous 4h-high, the Fibonacci 23.6% one-day, and more.

Looking up, it faces a hurdle at 1.1320 which is the meeting point of the Fibonacci 38.2% one-month, the Fibonacci 61.8% one-week, and the Pivot Point one-day Resistance 3. 

Support awaits at 1.1220, which is the convergence of the Pivot Point one-month Support 1, the Fibonacci 161.8% one-day, the PP one-day Support 2, and more.

Further support awaits at 1.1168 – but this is already a weak cushion. It consists of the PP one-week S1 and the previous monthly low.

All in all, support is weaker than resistance.

Here is how it looks on the tool:

EUR USD confluence lines July 12 2019

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

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Analysis feed

Latest Forex Analysis

Editors’ Picks

EUR/USD remains depressed but off daily lows

The EUR/USD pair is recovering from a daily low of 1.1216, although holding in negative territory for the day. US preliminary Michigan Consumer Sentiment Index improved by less-than-anticipated in July, coming in at 98.4 vs. the 98.5 expected.

EUR/USD News

GBP/USD trading marginally lower daily basis but above 1.2500

The Pound gave back some of its Thursday’s gain on dollar’s relief. The GBP/USD pair broke a daily descendant trend line coming from June’s high and holds above it, leaving little room for sellers to act.

GBP/USD News

USD/JPY: bears pausing, still in control

Japanese National Inflation steady at 0.7%YoY in June. US Michigan Consumer Sentiment Index expected at 98.5 in July. USD/JPY corrective advance falling short of signaling an interim bottom in place.

USD/JPY News

Something has spooked the Fed

We wish we knew what it is. Wild talk of the US joining Japan and Europe with zero or negative return on the 10-year is or should be very frightening.

Read more

Gold consolidates around $ 1440, eyes US data for fresh direction

Gold (futures on Comex) extends its side-trend around the 1440 mark into the mid-European session, having stalled its retreat from 2019 highs of 1454 near 1437 region.

Gold News

Majors

Cryptocurrencies

Signatures