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EUR/USD- In A Support Zone- Price Could Bounce Back Up

Published 10/31/2013, 07:38 AM
Updated 02/02/2022, 05:40 AM

The EUR/USD has entered in a support zone on a 4 hour time frame. The volatility for the price is high, as the price has pierced the Bollinger band and it is trading away from its 20 day moving average. The piercing of the Bollinger band does have a significant importance when this takes place at a resistance/support zone, because this is an ability to stop the upward/downward move or reverse the trend.

The pair is still trading above both of the upward trend lines (shown in purple), which confirm that the uptrend is still strong and any pull back could be an opportunity to join this trend.

The EUR/USD is trading below the 50 day (shown in green) and near the 100 day (shown in yellow) moving average which confirms that the bulls are losing their grip.

The RSI shows that the bias could be to the downside.
EUR/USD
Important Level

Resistance Levels
1.37086-1.3662 Major
1.3595-1.3567 Minor

Support Zone
1.3354-1.3322 Minor
1.3280-1.3251 Major

Disclosure & Disclaimer:
The above is for informational purposes only and NOT to be construed as specific trading advice. responsibility for trade decisions is solely with the reader.

by Naeem Aslam

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