EUR/USD targets fresh lows, Dollar recovers
Key Highlights
- EUR/USD failed to surpass 1.1900 and declined heavily.
- It broke a major bullish trend line at 1.1800 on the 4-hours chart.
EUR/USD Technical Analysis
Looking at the 4-hours chart, the pair traded below the 1.1820 support zone. There was also a break below a major bullish trend line at 1.1800. The pair settled below the 1.1800 level, the 100 simple moving average (red, 4-hours), and the 200 simple moving average (green, 4-hours).
Finally, the pair traded below the 1.1755 support zone. A low is formed near 1.1742 and the pair is now consolidating losses.
If there is a downside break below 1.1740, the pair could accelerate lower towards 1.1700. The next major support on the downside is near the 1.1650 level.
On the upside, the first major resistance is near the 1.1800 level. The main resistance is now forming near the 1.1820 level and the 100 simple moving average (red, 4-hours). It is also near the 50% Fib retracement level of the recent decline from the 1.1899 swing high to 1.1742 low.
Author
Aayush Jindal
TitanFX
I have spent over six years as a financial markets contributor and observer, and possess strong technical analytical skills. I am a software engineer by profession, loves blogging and observing financial markets.
