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Corrective Bounce

EURUSD TECHS
  • RES 4: 1.1185 1.0% 10-dma envelope
  • RES 3: 1.1154 20-day EMA
  • RES 2: 1.1121 Low Jan 28 and a recent breakout level
  • RES 1: 1.1095 High Mar 9
  • PRICE: 1.1064 @ 06:30 GMT Mar 10
  • SUP 1: 1.0890/06 Low Mar 9 / Low Mar 7 and the bear trigger
  • SUP 2: 1.0767 Low May 7 2020
  • SUP 3: 1.0727 Low Apr 24, 2020
  • SUP 4: 1.0654 2.50 proj of the Jan - Mar - May 2021 price swing

Yesterday’s gains in EURUSD are considered corrective. The downtrend remains intact and short-term gains are allowing an oversold condition to unwind. Recent weakness confirmed a resumption of the downtrend with moving averages still pointing south. Furthermore, a bearish price sequence of lower lows and lower highs remains intact. A resumption of weakness would open 1.0767, a low dating back to May 2020. Resistance is at 1.1121.

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