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Monitoring The Bear Channel Resistance

EURUSD TECHS
  • RES 4: 1.2285 High Jan 8
  • RES 3: 1.2243/59 High Feb 25 / 2.0% 10-dma envelope
  • RES 2: 1.2184 High Feb 26
  • RES 1: 1.2116/17 Bear channel top drawn off Jan 6 high / High Apr 26
  • PRICE: 1.2076 @ 16:29 BST Apr 27
  • SUP 1: 1.1994/43 Low Apr 22 / Low Apr 19
  • SUP 2: 1.1861 Low Apr 7 and 8
  • SUP 3: 1.1795 Low Apr 6
  • SUP 4: 1.1738 Low Apr 5

Recent gains in EURUSD resulted in a break of 1.2080, Apr 20 high, negating a bearish pattern on Apr 20 - a gravestone doji. Instead, the climb reinstates a bullish outlook. A key short-term hurdle for bulls however remains intact. 1.2116 is a bear channel top drawn off the Jan 6 high. A clear break of the channel resistance would be bullish and signal scope for an extension towards 1.2184, Feb 26 high. Support is at 1.1994, Apr 22 low.

MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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