Technical Analysis of EUR/USD for May 31, 2021

Technical Market Outlook:

The EUR/USD pair has reversed towards the short-term trend line support seen at the level of 1.2160, briefly broke below it to the level of 1.2131, but after the Bullish Engulfing candlestick pattern was made, the market got back to the consolidation zone. The momentum is weak and negative and the market conditions are oversold. If there is no sustained and coordinated up wave continuation above the level of 1.2242, the bears might strike again and push the prices towards the main channel lower line seen around the level of 1.2160 or the local low made at 1.2131.

Weekly Pivot Points:

WR3 - 1.2356

WR2 - 1.2298

WR1 - 1.2235

Weekly Pivot - 1.2173

WS1 - 1.2117

WS2 - 1.2059

WS3 - 1.1997

Trading Recommendations:

The daily time frame chart show the breakout above the trend line resistance and a new swing high above the recent Doji candlestick high. The momentum is strong and positive, so the up trend can be continued towards the next long-term target located at the level of 1.2241 (25.02.2021) and 1.2350 (06/01/2021).

analytics60b49557c5824.jpg

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

Pages