The EUR/USD settled down after the hawkish FOMC meeting minutes and the new American tariffs on China. What’s next?
The Technical Confluences Indicator shows that the most significant support line awaits the pair at 1.1490. This is the convergence of the Pivot Point one-day Support 3, the PP one-week Resistance 1, and the Simple Moving Average 100-one hour.
Further down, the next cushion is at 1.1448 which is the meeting point of last week’s high, the SMA 10-one-day, and the Fibonacci 161.8% one-month.
Looking up, resistance is clsoe by: 1.1592 is the confluence of the 4h-high, the SMA 5-4h, the SMA 200-4h, and the Fibonacci 38.2% one-day.
The path to the upside is packed with additional lines, with a notable cluster at 1.1634 which is the confluence of the PP one-day R1, the PP one-week R3, and the Bolinger Band one-hour Upper.
All in all, there is more room to the downside than to the upside.
Here is how it looks on the tool:
Confluence Detector
The Confluence Detector finds exciting opportunities using Technical Confluences. The TC is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.
This tool assigns a certain amount of “weight” to each indicator, and this “weight” can influence adjacents price levels. These weightings mean that one price level without any indicator or moving average but under the influence of two “strongly weighted” levels accumulate more resistance than their neighbors. In these cases, the tool signals resistance in apparently empty areas.
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