EUR/USD key to further upside moves is at 1.1790 – Confluence Detector
The EUR/USD has finally begun moving, rising higher after the successful Trump-Juncker summit. It is now awaiting the ECB decision. What lines should we watch?
The Technical Confluences Indicator shows that 1.1790 is a significant convergence to the upside. IT includes the Pivot Point one-day Resistance 2, the Pivot Point one-week Resistance 1, and last month's high. It serves as a key line to breaking higher.
Above this level, there is little resistance. 1.1864 is notable for the Pivot Point one-month Resistance 1.
Looking down, the 1.686 level is a critical support line as it is the confluence of the Fibonacci 38.2% one-week, the Pivot Point one-day Support 1, the Bolinger Band one-day Middle, the Simple Moving Average 10-one-day, and the SMA 50-one-day.
Further down, 1.1643 is the meeting point of the Fibonacci 38.2% one-month, the Fibon 61.8% one-week, and the Pivot Point one-day Support 2.
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.
Author
Yohay Elam
FXStreet
Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.
