Technical Analysis of EUR/USD for October 28, 2020

Technical Analysis of EUR/USD for October 28, 2020

Technical Market Outlook:

After the failure to rally above the short-term trend line resistance located around the level of 1.1845, the EUR/USD reversed and broken below the technical support seen at the level of 1.1790. The bearish pressure intensify as the market makes a new local low at the level of 1.1764 (at the time of writing the article) and is approaching the key short-term Fibonacci retracement seen at the level of 1.1761. Any violation of this level will lead to another wave down towards the level of 1.1724 and 1.1710.

Weekly Pivot Points:

WR3 – 1.2123

WR2 – 1.1991

WR1 – 1.1943

Weekly Pivot – 1.1823

WS1 – 1.1766

WS2 – 1.1638

WS3 – 1.1589

Trading Recommendations:

Since the middle of March 2020 the main trend is on EUR/USD pair has been up, which can be confirmed by almost 10 weekly up candles on the weekly time frame chart and 4 monthly up candles on the monthly time frame chart. The recent correction towards the level of 1.1612 seems to be completed and now market is ready for another wave up. This means any local corrections should be used to buy the dips until the key technical support is broken. The key long-term technical support is seen at the level of 1.1445. The key long-term technical resistance is seen at the level of 1.2555.

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