FX.co ★ Tehreem456 | AUD/USD

EURUSD H4 chart The EURUSD H4 chart is screaming a story of resistance, support, and momentum swings that every trader should pay attention to. The price action is battling between two thick blue zones that act like magnetic levels on the market—one sitting up high around 1.18828 and the other down low near 1.17453. These zones are the playground where bulls and bears are testing their strength. Looking at the upper blue box, you see the price tried to break out but got slammed back, highlighted by the red arrows pointing to sharp rejections. Each rejection shows the market refusing to go higher, suggesting that the resistance is solid and sellers are ready to push down whenever the price inches toward that zone. The candles turning red near the top indicate losing bullish steam, and the subsequent drop shows the bears taking control, dragging the price down toward the middle green line at 1.18132, which acts like a pivot floor. The middle green line is the immediate support‑resistance flip zone. When the price hits it, traders watch whether it will hold as support or flip into resistance. The red arrows crossing this line hint at a potential double‑bottom or a bounce attempt, but the overall bias leans toward a break below if the momentum stays negative. Seeing the price dip toward the lower blue box signals that the market is testing the next major support level, and a clean break below that box could open the door for a deeper sell‑off. The MACD panel at the bottom adds another layer to the analysis. The red MACD line shows a flattening then a slight upward curl around early February, indicating weakening bearish momentum and a possible shift toward bullish energy. However, the latest segment of the MACD is turning down again, suggesting the bears are regaining control, aligning with the price action’s downward push. The histogram bars shrinking near zero mean the market is losing conviction, making the next move uncertain and dependent on external triggers like news or economic data. Traders reading this chart should focus on the reaction around the green 1.18132 line. If the price bounces off it with strong green candles and the MACD flips positive, the bias could shift to an upward swing targeting the upper blue resistance again. On the flip side, if the price snaps below the lower blue zone with increasing volume and the MACD deepens into negative territory, the outlook becomes bearish with a potential run toward the next logical support below 1.17453. The red arrows on the chart act like warning signs, pointing out where the market has rejected higher levels and is eyeing a downward move. This visual cue tells you to stay alert for breakouts or breakdowns around those blue boxes, because trading the EURUSD on H4 means respecting these zones and the momentum signals from MACD. In practical terms, a strategy could be to place a sell order just below the lower blue support with a tight stop above the green pivot line, capturing the expected downward momentum. Alternatively, for aggressive traders, a buy setup could be crafted on a confirmed bounce off the lower blue zone with MACD showing a bullish crossover, aiming for the upper resistance.