The EUR/USD is sticking to well-known levels above 1.1600, awaiting news on new US tariffs on China, as well as the US Non-Farm Payrolls. What’s next? The big targets have not changed, but in order to determine the direction, the near-term levels play a critical role.
The Technical Confluences Indicator shows that immediate resistance awaits at 1.1641 which is the convergence of the Bolinger Band one-hour Upper, the Fibonacci 61.8% one-day, the Simple Moving Average 200-one-hour, and then the Fibonacci 38.2% one-week as well as the SMA 10-one-day.
If this immediate cap is broken, the road is open to shooting higher to 1.1738 which is the confluence of last month’s high and last week’s high.
Looking down, immediate support awaits around 1.1623 which is a dense cluster of levels including the SMA 50-one-day, the Fibonacci 23.6% one-day, the SMA 200-15m, the SMA 50-one-hour, the Fibonacci 23.6% one-week, the BB 15m-Middle, the SMA 5-one day, the BB one-hour Lower, the BB 15m-lower, and quite a few additional levels.
A break below this near-term support opens the door to 1.1550which is the confluence of the PP one-day Support 3, the BB one-day Middle and the BB 4h-Lower.
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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