FX.co ★ berta.hill | EUR/USD

D1 chart - EURUSD pair. The wave structure formally still builds its order upwards, although in essence it is already neutral. The MACD indicator is in the lower oversold zone and below its signal line. Earlier a growth formation — a descending wedge — was broken to the upside. It's not even a daily one but weekly — the wedge is that big. After its breakout to the upside and the rise, a pullback downward occurred. And it initially retraced down to the expected support level of 1.1463. There were attempts to rise from it, but instead an accumulation zone formed. Apparently far more buyers had accumulated, as a result the price was dragged strongly down. And overall in the market the US dollar was strengthening. The level was pushed through; basically a pullback to test it should occur since there hasn't been a test after the breakout yet. An additional factor indicating a corrective rise to the level is the CCI indicator, which shows a bullish divergence. And in general it's about time for a correction; other pairs are also standing at their highs or lows, and there are technical signals for a correction. The same divergence, for example, is present in some places on the four-hour charts. There's no point selling at the bottom of the move; you still need to wait for a pullback to the level and then consider entering short on lower timeframes. Apparently some fundamental factors influenced the strengthening of the US dollar. Although maybe it was the lingering effect from the Fed interest rate decision, which was raised for the first time in three years. After they did that the price flowed down and even the strong support at 1.1463 could not stop the decline. The level was broken and the price plummeted down, updating the year's low. And so far there are no signs of a rise. That happens too; it's called a steamroller — it periodically occurs and flattens everyone who was unhedged. In my opinion a corrective rise at least to the horizontal resistance level would look quite decent. After the latest crash last week the same bullish divergence on the CCI only increased. And as you can see, the signal — they have already begun pulling the price up quite well from the lows; a clear target is 1.1353. So far the 23.6 level on the Fibonacci grid has been reached.