Overview:
- The EUR/USD pair has faced strong resistance at the levels of 1.1302 because support has become resistance since last week. So, the strong resistance has been already formed at the level of 1.1302, and the pair is likely to try to approach it in order to test it again. The EUR/USD pair is still moving between 1.1303 and 1.1191 (weekly support 1). Furthermore, the price is seen below the strong resistance at the level of 1.1302, which coincides with the 61.8% Fibonacci retracement level. Additionally, the price is in a bearish channel now. Amid the previous events, the pair is still in a downtrend. From this point, the EUR/USD pair continues moving in a bearish trend from the new resistance of 1.1302. Thereupon, the price spot of 1.1302 remains a significant resistance zone. Therefore, a possibility that the EUR/USD pair will have downside momentum is rather convincing, and the structure of a fall does not look corrective. In order to indicate a bearish opportunity below 1.1302, sell below 1.1300 with the first targets at 1.1191 and 1.1132 (the double bottom is seen at 1.1132). However, the stop loss should be located above the level of 1.1366.
Weekly technical levels:
- R3: 1.1533
- R2: 1.1474
- R1: 1.1362
- PP: 1.1303
- S1: 1.1191
- S2: 1.1132
- S3: 1.1020
