EUR/USD Price Analysis: Bear flag remains in play around 1.0550

EUR/USD holds onto the one-week-old bearish consolidation below six-week-long resistance line.
Steady RSI sustained trading below 100-SMA adds strength to the downside bias.
Clear break of 1.0490 acts as a trigger for notable declines, 1.0650 may lure intraday buyers.

Anil Panchal FXStreet

EUR/USD remains sidelined at around 1.0550, keeping the weekly bear flag intact during Tuesday’s initial Asian session.

Unlike other major currency pairs that lost heavily against the US dollar in the recent risk-off play, the EUR/USD stayed inside a one-week-old rising trend channel after dropping over 450 pips during late April. In doing so, the quote portrays a bear flag chart pattern suggesting the further downside.

Other than the bearish formation, steady RSI and sustained trading below the key resistances, namely 100-SMA and a downward sloping trend line from March 31, keep EUR/USD bears hopeful.

However, a clear downside break of the flag’s support, around 1.0490 by the press time, becomes necessary for the show of south-run targeting the theoretical point around 1.0000. During the fall, lows marked in 2017 near 1.0340 may act as a buffer.

Alternatively, recovery moves may initially aim for the confluence of the stated flag and the 100-SMA, around 1.0650.

Following that, the aforementioned resistance line from March 31, close to 1.0730, will be in focus.

EUR/USD: Four-hour chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	1.0556
Today Daily Change	0.0008
Today Daily Change %	0.08%
Today daily open	1.0548

Trends
Daily SMA20	1.0699
Daily SMA50	1.0883
Daily SMA100	1.1107
Daily SMA200	1.1349

Levels
Previous Daily High	1.0599
Previous Daily Low	1.0483
Previous Weekly High	1.0642
Previous Weekly Low	1.0483
Previous Monthly High	1.1076
Previous Monthly Low	1.0471
Daily Fibonacci 38.2%	1.0554
Daily Fibonacci 61.8%	1.0527
Daily Pivot Point S1	1.0488
Daily Pivot Point S2	1.0427
Daily Pivot Point S3	1.0372
Daily Pivot Point R1	1.0604
Daily Pivot Point R2	1.0659
Daily Pivot Point R3	1.072

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

GBP/USD keeps the bull run intact, still below 1.3500

GBP/USD manages to trade with acceptable gains around 1.3480 on Thursday. Conflicting signals from US and Iranian officials over a potential deal have kept markets cautious and capped Cable’s upside, while investors avoid taking sizeable positions ahead of Friday’s crucial US NFP report.

EUR/USD faces some downside pressure around 1.1540

EUR/USD retreats modestly after advancing for two consecutive days, slipping below 1.1550 on Thursday. In the meantime, markets remain cautious over the prospects of a US-Iran peace agreement and the reopening of the Strait of Hormuz, keeping demand for the safe-haven US Dollar intact and preventing spot from regaining momentum.

How Wall Street rigs the game [Video]

In this week’s Live from the Vault, Andrew Maguire is joined by Peter Antico and Sean Stone to discuss the Paradigm of Money - an in-depth expose of financial market corruption, from naked shorting to the two-tier system that protects Wall Street.

XRP Price Forecast: Sell-off persists, bears aim for $1.00 as Ripple eyes on-chain multi-signature upgrade

Ripple (XRP) remains pressured, trading below $1.05 at the time of writing on Thursday. The token has declined for the fourth consecutive day this week, reflecting lethargic sentiment in the broader cryptocurrency market despite the possibility of easing geopolitical tensions in the Middle East.

The Fed is doing the exact opposite of what it should be doing

About the Yen: The WSJ has a front-page story about how the Fed is doing the exact opposite of what it should be doing—lending dollars to Japan to buy yen. “Put simply: America is printing dollars so Japan can buy yen.

9-3: Is the Federal Reserve’s vote tally Warsh's new forward guidance?

The rate did not move. Neither did the statement, and that’s the more interesting fact. Set the July 29 Federal Open Market Committee (FOMC) statement beside the one issued on June 17, and the two documents are identical apart from a single verb and a paragraph at the bottom naming three dissenters.