Monday, May 25, 2015

EUR/USD Technical Analysis: Eyeing Support Below 1.10




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Talking Points:



  • EUR/USD Technical Strategy: Flat


  • Support: 1.1059, 1.0934, 1.0808


  • Resistance:1.1214, 1.1310, 1.1466


The Euro declined against the US Dollar as expected after negative RSI divergence hinted at ebbing upside momentum. A daily close below the 50% Fibonacci expansion at 1.0934 exposes the 61.8% level at 1.0808. Alternatively, a turn above the 38.2% Fib at 1.1059 opens the door for a challenge of the 23.6% expansion at 1.1214.



Prices are wedged too closely between near-term support and resistance levels to justify taking a trade in line with our long-term outlook from a risk/reward perspective. With that in mind, we will continue to stand aside until a more attractive opportunity presents itself.



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EUR/USD Technical Analysis: Eyeing Support Below 1.10


Daily Chart – Created Using FXCM Marketscope



— Written by Ilya Spivak, Currency Strategist for DailyFX.com





EUR/USD Technical Analysis: Eyeing Support Below 1.10

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