EURUSD Analysis – Price Continues Its Bearish Movement to the 1.16600 Significant Level
EURUSD continues its bearish movement as the price is seen approaching the 1.16600 significant level. Fiber has been in a side-way market since mid-June. This accumulation phase is a result of the previous bearish movement. Price, however, reacted between the range as it continues its side-way movement as the bears seem to be in control of the market.
Significant EURUSD Levels
Resistance Levels: 122670, 1.19900
Support Levels: 1.19090, 1.16600
EURUSD first assumed its bearish state after a rejection around the 1.22670 significant level. Following that, price gained bearish momentum and rallied down close to the 1.16600 significant key level. The price, however, reversed its course, heading back to retest 1.22670. Following a sharp liquidity run, the market dropped and retested the 1.19900 and 1.19090 significant key levels.
As a result, EURUSD is presently seen consolidating between important levels as prices continue to move sideways. The bears, on the other hand, continue to acquire market power, while the bulls are also looking for a reversal at the 1.16600 significant level. The daily Parabolic SAR (Stop and Reverse) indicator shows several dots as the price drop continues under bearish action.
On the 4-hour chart, the price is seen dropping progressively after a reversal at the 1.19090 significant key level. The market then continues to make lower lows and highs as it approaches the 1.16600 significant level. The Stochastic Oscillator indicator shows price movement around the oversold region, indicating that price is still in a bearish trend and is about to reverse its direction. The Parabolic SAR continues to display dots above the highs of the candlesticks, indicating a downtrend. As a result, we anticipate price movement to a significant level of 1.16600 before reversing.
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