Happy Friyay, errbody!
If you haven’t gotten enough of dollar-related trades this week, then you’ll definitely want to watch EUR/USD for a possible bounce!
Here’s what I’m seeing on the 4-hour time frame:
EUR/USD: 4-hour
EUR/USD 4-hour Forex Chart by TV
As you can see, EUR/USD is having trouble making new highs above 1.1000 after starting an uptrend from the 1.0650 levels.
Fortunately for EUR bulls, EUR/USD has also found support somewhere along the 1.0870 area.
And why not? The level marks the 38.2% Fibonacci level of June’s upswing AND is near the 100 SMA on the 4-hour time frame.
The bullish divergence on the chart doesn’t hurt either.Will EUR/USD see another bounce from the inflection point?
EUR bulls can start scaling at current levels and aim for previous highs like 1.0970 or 1.1000 to catch decent moves.
Think EUR/USD is actually on its way down instead?
You can also wait for a clear break below the 1.0850 support zone before you can target areas of interest like 1.0800 or 1.0750 depending on the bearish momentum.
What do you think? Which way will EUR/USD go?