Euro is starting to form tops 29/6/2023

Negative trading dominated the movements of the euro-dollar pair during the previous session’s trading, after it failed to breach the strong resistance level at 1.0940,

Technically, when looking at the 240-minute chart today, we find that the simple moving averages have returned to pressure the price from above. The 50-day average meets near 1.0940, adding more strength to it, and this comes in conjunction with the clear negative signs on both stochastic indicators.

Therefore, the bearish slope is the most likely, targeting 1.0860, and close attention should be paid to this level due to its importance for the general trend in the short term because breaking it increases and accelerates the strength of the bearish tendency, opening the door directly to a visit to 1.0800, and the losses may extend later towards 1.0765.

To remind you that the breach to the upside and the price consolidating again above the resistance above 1.0940 nullifies the activation of the bearish scenario and leads the pair to restore the bullish path, targeting 1.0970 and 1.1000, respectively.

Note: Today we are awaiting high-impact economic data issued by the US economy “Quarterly Gross Domestic Product”, and we may witness high volatility at the time of the news release.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1.0860	R1: 1.0940
S2: 1.0800	R2: 1.0990
S3: 1.0765	R3: 1.1025