Technical Analysis of EUR/USD for March 12, 2021

Technical Market Outlook:

After the EUR/USD pair broke out of the main descending channel zone the pair made a new local high at the level of 1.1989, just below the technical resistance located at 1.1994. There is an short-term trend line support located around the level of 1.1925 and any violation of this level will lead to the test of the technical support at 1.1914 - 1.1908. The key short term technical support is located at the level of 1.1813, so please keep an eye on this level because any violation will lead to another wave down towards 1.1799 - 1.1789 zone. The weak and negative momentum supports the short-term bearish outlook as the bounce from the oversold market conditions looks completed.

Weekly Pivot Points:

WR3 - 1.2243

WR2 - 1.2176

WR1 - 1.2024

Weekly Pivot - 1.1958

WS1 - 1.1798

WS2 - 1.1738

WS3 - 1.1580

Trading Recommendations:

The long term trend on EUR/USD pair remains up on monthly time frame char, however the weekly time frame chart show the counter-trend corrective cycle is in progress. This corrective cycle has not been completed yet, because the key level for bulls is located at 1.1608. As long as the market trades above this level the up trend is valid and all of the down waves should be used to open long positions.

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

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