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Breaches The 50-day EMA

EURUSD TECHS
  • RES 4: 1.2353 High Apr 20, 2018
  • RES 3: 1.2349 High Jan 6
  • RES 2: 1.2230/85 High Jan 11 / 8
  • RES 1: 1.2175 20-day EMA
  • PRICE: 1.2095 @ 05:57 GMT Jan 19
  • SUP 1: 1.2054 Low Jan 18
  • SUP 2: 1.2011 High Sep 1 and a former breakout level
  • SUP 3: 1.1976 50.0% retracement of the Nov 4 - Jan 6 rally
  • SUP 4: 1.1951 2.0% 10-dma envelope

EURUSD traded lower again yesterday hitting a new 2021 low. The leg lower since Jan 6 is considered part of a correction that is allowing a recent overbought condition to unwind. Price action has traded through the 20-day and 50-day EMAs to hit the lowest levels since Dec 2. The focus is on 1.2011, Dep 1 high next and 1.1976, a Fibonacci retracement. 1.2230 marks a firm resistance with initial resistance at 1.2175, the 20-day EMA.

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