EUR/USD Technical Analysis: Support Now Below 1.08 Mark
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- EUR/USD Technical Strategy: Flat
- Support: 1.0796, 1.0623, 1.0408
- Resistance:1.0970, 1.1185, 1.1318
The Euro continues to face heavy selling pressure against the US Dollar, with sellers claiming a foothold below the 1.10 figure. A daily close below the 50% Fibonacci expansionat 1.0796 exposes the 61.8% level at 1.0623. Alternatively, a reversal above the 38.2% Fib at 1.0970 clears the way for a test of the 23.6% expansion at 1.1185.
Risk/reward considerations argue against entering short in line with our long-term outlook with prices in close proximity to support. On the other hand, the absence of a defined bullish reversal signal suggests taking up the long side is premature. We will remain flat for now, waiting for a more actionable opportunity to present itself.
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Daily Chart - Created Using FXCM Marketscope
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.