EUR/USD Technical Analysis: 1.14 could be scaled ahead of the ECB

Omkar Godbole FXStreet Contributor

The EUR/USD pair may find acceptance above 1.14, having witnessed a bull flag breakout on the 15-minute chart a few minutes before press time.

15-minute chart

Flag breakouts usually end up accelerating preceding bullish moves. As a result, there is scope for a rally to 1.1426 (target as per the measured move method, that is, pole height added to breakout price).

Daily chart

The pair closed above 1.1374 (Tuesday's high) yesterday, validating the bear exhaustion signaled by Tuesday's "long-tailed" candle.

Indeed, the European Central Bank (ECB) President Draghi is widely expected to sound dovish. The recent drop in EUR/USD from 1.1570to 1.1336 likely indicates that markets have already priced in the dovish turn. The timing of the first deposit rate hike was pushed back to mid-2020 earlier this month.

Trend: mildly bullish

EUR/USD

Overview:
    Today Last Price: 1.1386
    Today Daily change: 0.0004 pips
    Today Daily change %: 0.04%
    Today Daily Open: 1.1382
Trends:
    Daily SMA20: 1.1426
    Daily SMA50: 1.1391
    Daily SMA100: 1.1456
    Daily SMA200: 1.1589
Levels:
    Previous Daily High: 1.1396
    Previous Daily Low: 1.1351
    Previous Weekly High: 1.1491
    Previous Weekly Low: 1.1353
    Previous Monthly High: 1.1486
    Previous Monthly Low: 1.1269
    Daily Fibonacci 38.2%: 1.1378
    Daily Fibonacci 61.8%: 1.1368
    Daily Pivot Point S1: 1.1357
    Daily Pivot Point S2: 1.1331
    Daily Pivot Point S3: 1.1312
    Daily Pivot Point R1: 1.1402
    Daily Pivot Point R2: 1.1421
    Daily Pivot Point R3: 1.1447

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

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