EUR/USD has been on the back foot in recent days. Can it continue falling? The technical setup is stacked against it.
The Technical Confluences Indicator is showing that EUR/USD is capped at 1.1067, which is the convergence of the Bollinger Band 15minute-Middle, the previous weekly high, the Fibonacci 38.2% one-month, and the Simple Moving Average 50-15m.
Further above, another dense cluster of potent lines awaits it at 1.1119 – the SMA 10-one-day, the Pivot Point one-day Resistance 3, the SMA 200-1h, and the SMA 5-one-day, the Fibonacci 23.6% one-month, the Fibonacci 161.8% one-day, and others all meet up at this level.
Looking down, only weak support awaits the currency pair at 1.1021, where the Fibonacci 38.2% one-week and the BBB one-day Lower meet the price.
The next cushion is at 1.0963, which is the confluence of two pivot points, the one-week S1, and the one-month S1.
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.
Learn more about Technical Confluence
Share
