FX.co ★ berta.hill | EUR/USD

D1 chart - EURUSD pair. The wave structure formally still favors an upward order, although in essence it is already neutral. indicator MACD is in the lower oversold area and below its signal line. Earlier the growth pattern — a descending wedge — was broken to the upside. It's not even a daily one but a weekly one; the wedge is that big. After its breakout to the upside and the rise, a pullback down occurred. And it initially reached the expected support level 1.1463. There was an attempt to rally from it; instead of a rise a consolidation zone formed. Apparently far more buyers had accumulated, resulting in the price being pulled down sharply. And overall the US dollar was strengthening in the market. The level was pushed through; in fact there should be a pullback to test it since the breakout hasn't been tested yet. An additional factor indicating a corrective rise toward the level is the CCI indicator, which displays a bullish divergence. And generally it would be time for a correction; other pairs are also sitting at their highs or lows and show technical signals for a correction. The same divergence, for example, exists in some places on the four-hour charts. There's no point in selling at the bottom of the move; you still need to wait for a retracement to the level and then consider entries down on smaller timeframes. The price may try to make a new low for the year, but most likely only through a retracement. The alternative scenario would be if the resistance level 1.1463 produces only a bounce down and is then broken to the upside. It would then change its status from resistance to support. In that case the price will likely reach the next level 1.1573. Apparently some fundamental factors influenced the strengthening of the US dollar. Although maybe this is still the continuing effect from the Fed's interest rate decision, which was raised for the first time in three years. After that was done the price flowed down and even the strong support in the form of 1.1463 could not stop the decline. I expect an upward correction. Especially Friday, often a day of correction if the whole week went in one direction.