EURUSD Testing 50% Retracement Zone, Bulls Might Gain Steam
The EURUSD pair sharply fell in the global market after hitting the major resistance at 1.12384. Though the support at 1.11368 tried to stop the bearish rally, EURUSD bears manage to push lower. Currently, the price is testing the 50% retracement level drawn from the low of 29th November 2019 to the high of 31st December 2019. If the EURUSD bulls manage to regain bullish momentum at 1.11041, we might see another rally. If the EURUSD bulls get bumped, the pair is most likely to test the critical resistance at 1.11660. Breaking above that level might result in a test of the resistance at 1.12384.
On the downside, price breaking below the critical support at 1.11048 might push the price towards the 61.8% retracement zone. The EURUSD bears might have worked hard to clear the support at 1.10721. Breaking below the 61.8% retracement zone, might result in a deeper fall. The long term bearish trend might come into action.
In the case of the extended bearish rally, the EURUSD pair might find strong support at 1.09817. And any bearish price action confirmation signal at that level might offer to buy opportunity at the deep. Considering all the parameters, the overall bias remains bullish as long as the 61.8% retracement level holds.Download our latest quarterly market outlookfor our longer-term trade ideas.
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