18.10.201907:11 Forex Analysis & Reviews: Technical analysis of EUR/USD for 18/10/2019

Technical market overview:

The EUR/USD pair has broken out of the ascending channel around the level of 1.1109, which was the technical resistnace for the price as well. The local high was made at the level of 1.1139 and currently, bulls are testing the upper channel boundary from above. If the level of 1.1139 is clearly violated, then the next target for bulls is seen at the level of 1.1167 or even 1.1232. The immediate support is still located at the level of 1.1091 and the key technical support is seen at the level of 1.0999. Please remember, that the higher timeframe trend is still bearish.

Weekly Pivot Points:

WR3 - 1.1211

WR2 - 1.1133

WR1 - 1.1093

Weekly Pivot - 1.1014

WS1 - 1.0971

WS2 - 1.0893

WS3 - 1.0849

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 1.0999 and the technical resistance at the level of 1.1267.