The EUR/USD pair showed interesting price action last Friday, providing insights into its potential near-term direction. Let’s break down the key levels and possible scenarios:
Recent Price Action
- Support found above 1.0875
- Resistance encountered below 1.0905
This pattern suggests that the EUR/USD may continue its downward trend following a short-term rise.
Potential Bearish Scenario
If the EUR/USD faces resistance below 1.0915 today, we could see a downward move targeting the 1.0870 – 1.0860 range.
Key Levels to Watch
Resistance levels:
- Short-term resistance: 1.0910 – 1.0915
- Significant resistance: 1.0925 – 1.0930
Support levels:
- Short-term support: 1.0870 – 1.0875
- Significant support: 1.0860 – 1.0865
Trading Strategy
Traders might consider:
- Looking for selling opportunities near the 1.0910 – 1.0915 resistance zone
- Setting profit targets around the 1.0870 – 1.0860 support area
- Being cautious of any breaks above 1.0925, which could signal a potential trend reversal
Remember to always use proper risk management techniques and consider multiple timeframes when making trading decisions based on this analysis.