EUR/USD Price Analysis: Euro hits lowest level since April 2017


  • EUR/USD has dropped to the levels last seen in April 2017. 
  • The weekly candle indicate the path of least resistance is to the downside. 
  • Short-term oversold conditions suggest scope for a corrective bounce. 

EUR/USD breached support at 1.0839 a few minutes before press time and fell to 1.0827, the lowest levels since April 2017. 

The bearish trend looks quite strong with the weekly candle carrying little or no wicks, similar to last week's big bearish "marubozu" candle. 

That said, the 14-day relative strength index (RSI) is now reporting oversold conditions and the hourly chart RSI is printing higher lows, contradicting lower lows on price (bullish divergence).

As a result, a corrective bounce may be seen before further declines toward levels below 1.08. 

An oversold bounce, if any, could challenge the former hourly chart support-turned-resistance of 1.0865, above which the focus would shift to the descending or bearish 50-hour average at 1.0880.

Daily chart

Hourly chart

Trend: Bearish

Technical levels

EUR/USD

Overview
Today last price 1.0836
Today Daily Change -0.0005
Today Daily Change % -0.05
Today daily open 1.0841
 
Trends
Daily SMA20 1.101
Daily SMA50 1.1084
Daily SMA100 1.1067
Daily SMA200 1.1117
 
Levels
Previous Daily High 1.0889
Previous Daily Low 1.0834
Previous Weekly High 1.1089
Previous Weekly Low 1.0942
Previous Monthly High 1.1225
Previous Monthly Low 1.0992
Daily Fibonacci 38.2% 1.0855
Daily Fibonacci 61.8% 1.0868
Daily Pivot Point S1 1.0821
Daily Pivot Point S2 1.08
Daily Pivot Point S3 1.0766
Daily Pivot Point R1 1.0875
Daily Pivot Point R2 1.091
Daily Pivot Point R3 1.093

 

 

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