Saturday, May 21, 2022 9:10 AM EDT
EURUSD Analysis Today
Previous EURUSD forecast talked about price making a retrace to $1.04700 and the price has done that. The retrace happened pretty quickly. Just in two days the price returned and reached that level.
On Tuesday the price made a strong bullish candle reaching high levels inside the previous range area. After that price made a retrace back down to $1.04600 and from there a strong bullish engulfing candle broke through the previous range and closed the day above.
The close was above previous candle bodies inside the range area. This was a strong sign of bull’s strength which is an indication of the future move.
On Friday we have a small retrace where traders have exited from trades and taken the profit from the strong move upwards.
With strong bullish candles and breaking some critical levels to the upside, we can look for the price on higher levels.
The retrace on Friday is a nice move that took the price to the first support area, a demand zone around $1.05087.
The candle close above previous candles body highs which is a good signal to look expect the price on the higher levels. From here we can expect the price close to $1.06400 which is high on the previous bullish attempt to reach higher levels
It is on the downtrend channel resistance line that prevents the price reaching higher levels. And above that we have a confluence of resistance that will make a problem for the price.
On the downside we need the price back below $1.05000 to continue looking for lower levels. Until that happens we need to wait to move outside the previous range area.
Disclaimer: Any Advice or information is General Advice Only – It does not take into account your personal circumstances, please do not trade or invest based solely on this information. By ...
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Disclaimer: Any Advice or information is General Advice Only – It does not take into account your personal circumstances, please do not trade or invest based solely on this information. By Viewing any material or using the information you agree that this is general education material and you will not hold any person or entity responsible for loss or damages resulting from the content or general advice provided here by author. Futures, options, and spot currency trading have large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don’t trade with money you can’t afford to lose. This is neither a solicitation nor an offer to Buy/Sell futures, spot Forex, CFD’s, options or other financial products. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed in any material provided by this author. The past performance of any trading system or methodology is not necessarily indicative of future results.
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