EUR/USD Technical Analysis: Set-up points to an extension of the bearish trend, ECB awaited

Haresh Menghani FXStreet

• The pair has been trending lower along a short-term descending channel on the hourly chart and now seems to have stabilized near the 1.1400 handle, just above the trend channel support.

• Meanwhile, the fact that the pair remains well below important intraday moving averages - 50, 100 and 200-hour SMAs, point to an extension of the well-established near-term bearish trend.

• Moreover, bearish technical indicators on hourly/daily charts further add credence to the negative outlook and thus, increase prospects a retest of YTD lows support near the 1.1300 round figure mark.

• Traders, however, seemed to wait for the latest ECB monetary policy update for any dovish signals before positioning for the next leg of directional move or initiating any aggressive bearish bets.

EUR/USD 1-hourly chart

EUR/USD

Overview:
    Last Price: 1.1406
    Daily change: -1.2e+2 pips
    Daily change: -1.08%
    Daily Open: 1.1531
Trends:
    Daily SMA20: 1.1571
    Daily SMA50: 1.1584
    Daily SMA100: 1.1623
    Daily SMA200: 1.1909
Levels:
    Daily High: 1.154
    Daily Low: 1.1531
    Weekly High: 1.1622
    Weekly Low: 1.1433
    Monthly High: 1.1816
    Monthly Low: 1.1526
    Daily Fibonacci 38.2%: 1.1496
    Daily Fibonacci 61.8%: 1.1472
    Daily Pivot Point S1: 1.1453
    Daily Pivot Point S2: 1.1392
    Daily Pivot Point S3: 1.1351
    Daily Pivot Point R1: 1.1555
    Daily Pivot Point R2: 1.1596
    Daily Pivot Point R3: 1.1657

Author

Haresh Menghani

FXStreet

Haresh Menghani is a detail-oriented professional with 10+ years of extensive experience in analysing the global financial markets.

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