Technical Analysis of EUR/USD for October 5, 2020

Technical Market Outlook:

The EUR/USD pair keeps testing the short-term trend line resistance, but there is no upside breakout yet. The level of 1.1772 had not been violated clearly and the market reversed towards the technical support located at 1.1696. Nevertheless, the next target for bulls is seen at the level of 1.1772 and 1.1790. The next target for bears is seen at the level of 1.1655. Only a sustained move above the level of 1.1758 would put bulls back into control again. The weekly time frame trend remains up.

Weekly Pivot Points:

WR3 - 1.1938

WR2 - 1.1852

WR1 - 1.1782

Weekly Pivot - 1.1691

WS1 - 1.1632

WS2 - 1.1548

WS3 - 1.1473

Trading Recommendations:

Since the middle of March 2020 the main trend is on EUR/USD pair has been up, which can be confirmed by almost 10 weekly up candles on the weekly time frame chart and 4 monthly up candles on the monthly time frame chart. Nevertheless, weekly chart is recently showing some weakness in form of a several Pin Bar candlestick patterns at the recent top. This means any corrections should be used to buy the dips until the key technical support is broken. The key long-term technical support is seen at the level of 1.1445. The key long-term technical resistance is seen at the level of 1.2555.

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The material has been provided by InstaForex Company - www.instaforex.com