Technical analysis of EUR/USD for July 17, 2017

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Overview:

  • The EUR/USD pair bullish trend from the support levels of 1.1421 and 1.1400. Currently, the price is in a bullish channel. This is confirmed by the RSI indicator signaling that we are still in a bullish trending market. As the price is still above the moving average (100), immediate support is seen at 1.1421, which coincides with a golden ratio (61.8% of Fibonacci retracement levels). Consequently, the first support is set at the level of 1.1421. So, the market is likely to show signs of a bullish trend around the spot of 1.1421/1.1400. In other words, buy orders are recommended above the golden ratio (1.1421) with the first target at the level of 1.1488. We should see the pair climbing towards the double top (1.1488) to test it. Furthermore, if the trend is able to break out through the first resistance level of 1.1488, then the EUR/USD pair will continue towards the next targets of 1.1530 and 1.1550 in coming hours. It would also be wise to consider where to place a stop loss; this should be set below the second support of 1.1400.
The material has been provided by InstaForex Company - www.instaforex.com