Short-term technical analysis on EURUSD for August 5, 2021.

EURUSD is trading at 1.1835 and the 50% Fibonacci retracement of the rise from 1.1752 to 1.1909. The past few weeks we were bullish EURUSD when it was trading below 1.18, expecting an upward reversal. This upward reversal came and price reached 1.1909, although our target was 1.1945.


Blue lines- Fibonacci retracement

EURUSD so far has retraced 50% of the entire rise from 1.1752. Bulls still have hopes for another leg higher. Next key Fibonacci support is at the 61.8% retracement. Resistance is at 1.19. Breaking above 1.19 will be a bullish sign. If this happens then 1.1945 is expected to be surpassed and price to reach 1.20. The chances of a higher low around 1.1815-1.1830 are still high. Bulls do not want to see price break below 1.18. This will decrease dramatically the chances of a new upward move. At current levels we remain bullish EURUSD.

The material has been provided by InstaForex Company -