Technical Analysis of EUR/USD for December 29, 2020

Technical Market Outlook:

The EUR/USD pair has bounced from the technical support located level of 1.2154 again and is currently heading higher towards the swing high seen at 1.2272. The Broadening Wedge price pattern is still in progress, so please notice this particular pattern is a trend reversal pattern, which indicates a possible correction on the Euro market soon. For now, the zone located between the levels of 1.2154 - 1.2177 remains the key demand zone for bulls and the zone located between the levels of 1.2250 - 1.2272 is the supply zone. The positive momentum supports the short-term bullish outlook as long as the demand zone is not clearly violated.

Weekly Pivot Points:

WR3 - 1.2368

WR2 - 1.2314

WR1 - 1.2240

Weekly Pivot - 1.2185

WS1 - 1.2118

WS2 - 1.2062

WS3 - 1.1987

Trading Recommendations:

Since the middle of March 2020 the main trend is on EUR/USD pair has been up. This means any local 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 1.1609. 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

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