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30.09.2020 11:45 AM
EUR/USD Under Massive Pressure

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EUR/USD rebound, temporary growth, seems over as the US Dollar Index increases again. We have a strong negative correlation between the USDX and the EUR/USD. When the index grows, EUR/USD drops, and when the dollar index drops, the pair increases.

The pair remains under selling pressure as long it stays under the downtrend line. EUR/USD has failed to retest the downtrend line, dropping and stabilizing under 1.17 could attract more sellers in the short term.

  • EUR/USD Trading Tips & Conclusion

You can sell EUR/USD if the price drops and stays below 1.17 a few days. Also, a drop below the 1.1612 former low, peak low, could bring a short opportunity. 1.15 and 1.14 levels could be used as downside targets.

Only a breakout and stabilization above the downtrend line could invalidate a larger drop and could bring a buying opportunity.

Ralph Shedler,
Analytical expert of InstaForex
© 2007-2024
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