FX.co ★ Technical analysis of EUR/USD for August 01, 2022

Technical analysis of EUR/USD for August 01, 2022

Technical analysis of EUR/USD for August 01, 2022

Overview :

The EUR/USD pair moved higher and closed the day in positive area near the price of 1.0256.

It also rose a little, having risen to the level of 1.0279. On the hourly chart, the EUR/USD pair is still testing resistance (1.0279) - the moving average line MA (100) H1 (1.0279).

The EUR/USD pair continues to push higher toward 1.0279 during the American trading hours on Monday. The dollar stays under constant selling pressure after the ISM Manufacturing PMI survey showed price pressures continued to ease in August.

Range trading continues in the EUR/USD pair and intraday bias stays upwards at this point.

The EUR/USD pair was trading around the area of 1.0250 a week ago. Today, the level of 1.0154 represents a weekly pivot point in the H1 time frame.

The pair has already formed minor resistance at 1.0279 and the strong resistance is seen at the level of 1.0350 because it represents the daily resistance 2.

On the upside, above 1.0279 minor resistance will target 1.0300 resistance first. Break there will target channel resistance at 1.0350.

It should be noted that volatility is very high for that the EUR/USD pair is still moving between 1.0154 and 1.0350 in coming hours.

Furthermore, the price has been set above the strong resistance at the levels of 1.0154 and 1.0116, which coincides with the 61.8% and 50% Fibonacci retracement level respectively.

Additionally, the price is in a bearish channel now. Amid the previous events, the pair is still in an uptrend.

On the four-hour chart, the EUR/USD is still below the MA 50H4 line. Based on the foregoing, it is probably worth sticking to the south direction in trading, and while the EUR/USD pair remains below MA 50 H1, it may be necessary to look for entry points to sell at the end of the correction.

On the downside, break of 1.0154 minor support will bring retest of 1.0116 and 1.0078 low instead.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
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