09.10.201907:06 Forex Analysis & Reviews: Technical analysis of EUR/USD for 09/10/2019

Technical Market Overview:

The EUR/USD pair did not make it through the technical resistance located at the level of 1.0999 and the price moved lower towards the local support at 1.0965 and broke below it. The low was made at the level of 1.0941, so the price fell out of the local channel as well. Nevertheless, the bulls might decide to push it higher anyway as the price is still in a short-term ascending channel. The momentum is still strong and positive, which supports the short-term bullish outlook and the technical support located at the level of 1.0966 should hold the bears. Please remember, that the higher timeframe trend is still bearish.

Weekly Pivot Points:

WR3 - 1.1156

WR2 - 1.1079

WR1 - 1.1037

Weekly Pivot - 1.0957

WS1 - 1.0918

WS2 - 1.0839

WS3 - 1.0797

Trading recommendations:

The best strategy for current market conditions is to trade with the larger timeframe trend, which is down. All upward moves will be treated as local corrections in the downtrend. The downtrend is valid as long as it is terminated or the level of 1.1445 clearly violated. There is an Ending Diagonal price pattern visible on the larget timeframes that indicate a possible downtrend termination soon. The key short-term levels are technical support at the level of 1.0926 and the technical resistance at the level of 1.1267.