EUR/USD well-supported for a change, but can it rise? — Confluence Detector

Yohay Elam FXStreet

The EUR/USD begins a new week after closing the previous one on higher ground, not a very common scene. Can it continue its recovery? The 1.1649 level is key.

The Technical Confluences Indicator shows that the EUR/USD enjoys a dense cluster of support around 1.1680. This is the convergence of the Bolinger Band 1h-Middle, the Simple Moving Average 50-15m, the SMA 10-1h, the SMA 10-4h, and the Fibonacci 61.8% one-day.

Stronger support awaits at 1.1649. This is the meeting points of the Bolinger Band 1h-Lower, the Fibonacci 23.6% one-month, the Fibonacci 61.8% one-week, the SMA 100-1h, and the Fibonacci 23.6% one-day.

If this strong line falls, the next support level is only at 1.1564 which is the confluence of the Fibonacci 23.6% one-week and the Pivot Point one-day Support 2.

Looking up, some resistance awaits at around 1.1735 which is the Fibonacci 38.2% one-month and stronger resistance at around 1.1771 which is the Pivot Point one-day Resistance 2, the Bolinger Band one-day Middle, and the Pivot Point one-week Resistance 1.

All in all, there is more support than resistance, pointing to further upside.

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

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.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.