EUR/USD outlook: Larger bears to consolidate before resuming lower, parity level coming in focus

Slobodan Drvenica Windsor Brokers

EUR/USD

EURUSD edges higher early Friday on a partial profit-taking at the end of the week, after the latest three-day acceleration pushed the price to the lowest levels in over two years.

Larger bears are likely to take a breather above important support at 1.0200 (Fibo 61.8% retracement of 0.9535/1.1275, Sep 2022 – July 2023 rally) and position for fresh push lower as 1.0200 marks the last significant obstacle on the way towards parity level, which came in focus as next target.

Daily Tenkan-sen / former low at 1.0350 zone offer solid resistance which should ideally cap and keep near term bears intact.

Technical picture remains firmly bearish on daily chart (strong negative momentum / MA’s in full bearish setup and price action weighed by thick falling daily Ichimoku cloud) and support scenario.

Only sustained break above 1.0430 (daily Kijun-sen) would sideline bears for stronger correction.

Res: 1.0345; 1.0405; 1.0430; 1.0460.
Sup: 1.0224; 1.0200; 1.0150; 1.0100.

Interested in EUR/USD technicals? Check out the key levels

1. R3 1.0502
2. R2 1.0439
3. R1 1.035
PP 1.0287
1. S1 1.0199
2. S2 1.0136
3. S3 1.0047

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.