Technical Analysis for EURUSD for 9th May 2023
Euro Firm After a 4.5% Rally, is the Bull Run Over?
Past Performance of EURUSD
Euro prices remain in a range, evident in the daily chart. Even though the uptrend remains, the failure of buyers to break above 1.1100 points to weakness. As it is, USD bulls appear to be building up momentum. Still, the uptrend remains provided prices range above 1.0965, the local support level.
EURUSD Technical Analysis
The consolidation of prices may offer an opportunity for swing traders to exit their longs. This is because the upside momentum is fading, and volatility is dropping as prices diverge from the upper BB. In a choppy market, conservative traders can wait for a conclusive breakout in either direction. Losses below 1.0965 with rising volumes may open opportunities for bears targeting 1.0865. Conversely, a spring above 1.1100, with expanding volumes, may anchor the next leg higher towards 1.1200 or better.
What to Expect from EURUSD
Prices are consolidating though the uptrend remains. As it is, buyers have a chance above 1.0965 though losses below this level may mark the beginning of a trend shift in favor of sellers. Note that the Euro is up 4.55% from March 2023.
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.
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