EURUSD chart analysis
The EURUSD price was ranging the whole week where we had two strong moves outside the range area.
The week started with two bearish candles where Tuesday’s candle closed below previous daily closes. That suggested the price could move down to the first support at $1.11871.
On Wednesday we had the price moving to $1.12196 and returning back inside the range. And on Thursday the price tried to break above and reached $1.13592 which is above previous daily candle close. And this price level is also a level where the downtrend line is located which puts a pressure on the price.
From there the price dropped strongly down and closed the day below the price range where the price was since 26.November.
Have in mind that the price had a strong move on Friday which is a day when traders get out from the market and cash out what they have made in the previous days.
There is a chance the price will return back in the range area after Monday. Usually Monday is the day when the market defines the trend for the rest of the week.
The price could find support at $1.11871 and return back up because the price is now in the indecision area.
We have strong buyers at $1.11871 and strong sellers at $1.13600.
Which level the price breaks first we will know where it will move in the future. Buyers need to move the price above $1.14000 as a first step to change the market direction.
And the sellers need to close the price below $1.11871 if they want to see the price lower.
Trading Analysis Bonus
I am sharing trading analysis each week.
It is free and if you want to receive e-mail notification, sign up.