Technical analysis of EUR/USD for March 06, 2017

Overview:

• The EUR/USD pair is trading around the area of 1.0585. The level of 1.0585 represents a daily pivot point. Hence, the pair has already formed minor support at 1.0563 and the strong support is seen at the level of 1.0537 because it represents the daily support 2. From this point, major resistance is seen at 1.0607. If the pair closes above the price of 1.0607, the EUR/USD pair may resume it movement to 1.0638 to test the weekly resistance 2. We expect the EUR/USD pair to move between the levels of 1.0564 and 1.0638 today. Equally important, the RSI is still calling for a strong bullish market as well as the current price is also above the ratio of 38.2% Fibonacci Expansion. As a result, buy above the weekly pivot point of 1.0585 with targets at 1.0607, 1.0638 and 1.0656 in order to test the weekly support 2. On the other hand, stop loss should always be taken into account, accordingly, it will be beneficial to set the stop loss below the last bearish wave at the level of 1.0537.

The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com