You are here: Home > articles > Forex > Technical Analysis – EURUSD gets rejected at descending trendline
Technical Analysis – EURUSD gets rejected at descending trendline
October 16, 2023 8:27 amVideo
Latest News
- Analysis of EUR/USD pair on May 24, 2024 May 24, 2024
- Analysis of GBP/USD pair on May 24th. Another British report showed weakness, but who cares? May 24, 2024
- USD/JPY: Simple trading tips for novice traders on May 24th (US session) May 24, 2024
- GBP/USD: Simple trading tips for novice traders on May 24th (US session) May 24, 2024
- EUR/USD: Simple trading tips for novice traders for May 24th (US session) May 24, 2024
- GBP/USD: trading plan for the US session on May 24th (analysis of morning deals). Sellers missed 1.2700 May 24, 2024
- EUR/USD: trading plan for the US session on May 24th (analysis of morning deals). The euro is not going to give up May 24, 2024
- EUR/USD. May 24th. The bears are starting to go on the offensive May 24, 2024
- Forecast of GBP/USD pair on May 24, 2024 May 24, 2024
- Trading Signals for EUR/USD for May 24-28, 2024: sell below 1.0864 (200 EMA – 21 SMA) May 24, 2024
- Trading Signals for GOLD (XAU/USD) for May 24-28, 2024: buy above $2,333 (200 EMA – oversold) May 24, 2024
- Weekly Forex Outlook: 24/05/2024 – US PCE inflation and Eurozone CPI data enter the spotlight May 24, 2024
- Technical Analysis – Is the pause in NGAS a warning signal? May 24, 2024
- Technical Analysis – USDCAD eases slightly after bullish rally May 24, 2024
- Week Ahead – US PCE inflation and Eurozone CPI data enter the spotlight May 24, 2024
- Technical Analysis – GBPJPY continues its journey north May 24, 2024
- Video market update for May 24, 2024 May 24, 2024
- Forex forecast 05/24/2024: EUR/USD, GBP/USD, USD/CAD, Gold and Bitcoin from Sebastian Seliga May 24, 2024
- USD/JPY: trading tips for beginners for European session on May 24 May 24, 2024
- GBP/USD: trading tips for beginners for European session on May 24 May 24, 2024
EURUSD stuck in a clear downward path, seems unable to recover
Latest rebound encounters strong resistance at key trendline
Momentum indicators endorse a resumption of the downtrend
EURUSD has been in a steady retreat after peaking at the 18-month high of 1.1275, generating a series of lower highs and lower lows. Although the pair managed to find its feet at the 10-month bottom of 1.0487, its recovery faltered after hitting the descending trendline that connects its recent lower highs.
Should the bears attempt to push the price lower, the September support of 1.0487 could prove to be the first barrier for the pair to clear. A violation of that floor could pave the way for the 10-month low of 1.0447. Piercing through that region, the price might then slide towards the November 2022 support zone of 1.0289.
On the flipside, if the pair reverses back higher, initial advances could be rejected by the downward sloping trendline ahead of the recent resistance region of 1.0638. Conquering this barricade, the bulls could aim for the September resistance of 1.0765. Failing to halt there, the pair could then ascend towards the June-July support of 1.0832, which may serve as strong resistance in the future.
In brief, EURUSD remains a prisoner within its medium-term bearish pattern as its latest bounce proved to be short-lived. Hence, it’s clear that a break above its descending trendline is needed to revive the bulls’ hopes for a solid recovery.
Related Posts: