EUR/USD faces dual resistance lines, downside is easier – Confluence Detector

EUR/USD  is trading just above 1.10, looking for a new direction amid contradicting trade headlines. Which direction will it choose? The downside seems more appealing.  

The  Technical Confluences Indicator  is showing that fierce resistance awaits at 1.1046, which is a dense cluster including the Simple Moving Average one-day, the Bollinger Band 4h-Middle, the SMA 50-1d, the Fibonacci 38.2% one-week, the SMA 200-1h, the SMA 5-1d, the SMA 100-1h, and more.

Above, another substantial cap is seen at 1.1068, which is the convergence of the Fibonacci 38.2% one-month, the Fibonacci 61.8% one-week, the BB one-day Middle, and the Pivot Point one-week Resistance 1.  

Looking down, support awaits at 1.0994, which is the confluence of the BB 4h-Lower, the PP 1w-S1, and the Fibonacci 61.8% one-month.  

Further down, another cushion is at 1.0966, which is the meeting point of the PP 1m-S1 and the PP 1w-S2.

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