FX.co ★ Cookiess | EUR/USD

EURUSD Market Analysis: Let's analyze the current price movement of the EUR/USD pair. While previous technical analyses had indicated a positive outlook, traders were unable to hold the pair above higher levels, as evidenced by this week's closing prices. An anomaly at the 1.16364 level at the beginning of the week hinted at the pair's future movement. Buyers approached the resistance line on the daily chart (D1) but then encountered a reversal. This was not consistent across all brokers. However, today, buyers broke through the ascending triangle pattern on the daily chart (H4-D1) and surpassed the resistance line at 1.13474. The pair then retreated to 1.13474, a previously broken support line on the daily chart (D1), fulfilling the technical requirements. While the 1.16364 level is still far away, buyers are aiming to break through the 1.14879 resistance level next week, as indicated by the triangle formation on the daily chart.

Once the 1.16364 level is broken, other strategies are likely to emerge. We anticipated news to stabilize the market before the close. The bullish candlesticks created upward momentum, indicating a positive shift that broke the downtrend that dominated throughout April. May saw a belated recovery, indicating a reversal in the strength of the US dollar. The market outlook remains unchanged. After several weeks of sharp gains, this correction is welcome, and balance has been restored. Depending on Monday's market performance, buying opportunities on dips are favorable. The short-term downside target may be postponed for a month or two, and we will focus on breaking through 1.0807 to reach price targets 12 and 13. The long-term sell target from the 1.1300 level remains a target.