EUR/USD registered losses for the fifth straight week and stays relatively quiet below 1.1600 at the start of the week. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, expects the pair to fall towards 1.1492/95 with the next key support located at 1.1395.
RSI has diverged
“EUR/USD slowly continued to grind lower last week and we would allow for further weakness to the 50% retracement of the move from 2020 and the March 2020 high at 1.1492/95 but the next key support of note is going to be the previous downtrend (from 2008) which is now located at 1.1395.”
“We note that the new low has yet to be confirmed by the daily RSI and that suggests some caution.”
“Intraday rallies will find an accelerated downtrend at 1.1659, but key nearby resistance is the 1.1777 three-month downtrend.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.