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EUR/USD  has kicked off the week on the back foot amid weak German data. However, it has significant support and may advance.  

The  Technical Confluences Indicator  is showing that EUR/USD has major support at 1.0977, which is a dense cluster of lines including the Fibonacci 23.6% one-week, the Simple Moving Average 50-one-hour, the Fibonacci 61.8% one-day, and the Bollinger Band 15min-Lower among others.

Further down, additional support awaits at 1.0954, which is the convergence of the SMA 100-1h, the SMA 5-1d, and the Fibonacci 38.2% one-week.  

Resistance awaits at 1.1028, which is the confluence of the Fibonacci 61.8% one-month and the Pivot Point one-week Resistance 1.  

The next noteworthy line on the upside is 1.1115, which is where the previous monthly high meets the Bollinger Band one-day Upper.

All in all, the path of least resistance is to the upside.

Here is how it looks on the tool:

EUR USD technical confluence October 7 2019

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