Technical Analysis for EURUSD for 8th May 2023
Euro Bulls Firm, Will Prices Rally Above 1.1100?
Past Performance of EURUSD
The uptrend remains, but USD bulls are rejecting attempts higher. From the daily chart, primary resistance lies at 1.1100, marking May 4 highs. The failure of prices to move higher last week supports bears. There must be a sharp dump below 1.0965 and the middle BB, or the 20-day moving average, for sellers to fully take control.
EURUSD Technical Analysis
The uptrend remains, but there is a double top forming. With prices flat-lining at spot rates, diverging from the upper BB, there could be signs of dropping upside momentum. Still, EUR bulls have the upper hand, provided prices are above the middle BB and 1.0965. As it is, traders can wait for a confirmation of the May 4 bar. In that case, losses below 1.0965 with expanding volumes may see USD bulls drive prices back to 1.0865 in a bear trend continuation formation. Any rally above 1.1100 with the same rapidity cancels this bearish outlook.
What to Expect from EURUSD
EURUSD is consolidating at spot rates after a superb performance by EUR bulls. Still, there must be a convincing breakout above the current range for trend definition. Any upswing will confirm buyers of March, cementing Euro bulls’ dominance.
Resistance level to watch out for: 1.1100
Support level to watch out for: 1.0965
Disclaimer: Opinions expressed are not investment advice. Do your research.
For more interesting tips and facts visit our Education Centre.