Technical Analysis for EURUSD for 17th May 2023
Euro May Post More Losses, Upside Capped at $1.0940
Past Performance of EURUSD
The euro remains under pressure and trickling lower. Sellers are unrelenting, looking at the performance in the daily chart. As it is, every attempt higher below $1.0940, marking May 12 highs, may offer entries for determined traders angling for even more drawdown toward $1.0730 in the coming sessions.
EURUSD Technical Analysis
EURUSD is within a bearish formation following the double tops in early May. As it is, prices are moving lower, crashing below critical support levels as euro prices recoil. Moreover, sell bars are riding the lower band, pointing to high selling pressure. This may allow sellers to search for liquidation entries in lower time frames. The neckline and an important support line traders should watch is $1.0730. If this level is lost, there is a high possibility of prices dropping further towards $1.0530 or March 2023 lows.
What to Expect from EURUSD
Unless there is an unexpected expansion above May 12 highs with surging participation levels, USD bulls are squarely in control. Therefore, from an effort-versus-result perspective, sellers can continue looking for entries targeting $1.0730 in the near term.
Resistance level to watch out for: $1.0940
Support level to watch out for: $1.0730
Disclaimer: Opinions expressed are not investment advice. Do your research.
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