Euro is Looking For New Signals

The EUR’s movements were tilted to the positive side during the previous trading session, and we remained neutral in the previous report due to the conflicting technical signals.

Technically, looking at the chart, we find that the 50-day moving average has returned to hold the price with positive signals from the RSI over short periods of time with trading stability above the 1.1720 support level, on the other hand, we find that negative signs began to appear on the stochastic indicator. This contrasts with the positive signs from the moving average.

With the technical signals still conflicting, we will remain neutral for the third consecutive session, awaiting one of the following scenarios:

Confirmation of the daily trend depends on a clear and strong breach of the support level 1.1720, Fib 23.60%, and facilitates the mission required to visit 1.1665 then 1.1640.

Reactivating long positions depends on trading stability above 1.1720. With a clear and strong breach of the 1.1800 resistance level required, the pair will resume the bullish trend towards 1.1880 / 1.1860, and targets may extend towards 1.1920.

S1: 1.1720	R1: 1.1820
S2: 1.1675	R2: 1.1860
S3: 1.1640	R3: 1.1915