The EUR / USD pair in the morning of the American session is trading above the 1-hour downtrend channel and above the +1/8 murray support located at 1.2023.

In the 1-hour chart of EUR / USD, we can see that the pair has broken its bearish channel, and is now approaching the SMA of 21. If EUR/USD remains above 1.2023, we can expect a recovery until the 200 EMA located at 1.2118.

On the other hand, if it fails to consolidate above the 21 SMA, downward pressure is likely to continue to last month's low at 1.1952.

We can also add the strength of the dollar index (USDX), in 4-hour charts it has reached a strong resistance of 6/8 of murray, now a correction is likely which could favor the euro and there could be an upward rebound in the EUR / USD.

Also if the EUR / USD, reaches the area of the 200 EMA in 1-hour charts, and fails to stay above this, it will be a good opportunity to sell, because the moving average is acting as strong resistance and will be a good chance to go short with targets at 1.20.

Support And Resistance Levels For March 02 - 03, 2021

Resistance (1) 1.2057

Resistance (2) 1.2088

Resistance (3) 1.2125

Support (1) 1.2008

Support (2) 1.1984

Support (3) 1.1944

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Trading tip for EUR/USD for March 02 - 03, 2021

Buy above 1.2020 (1/8 of murray and strong support) with take profit at 1.2085 and 1.2118(EMA 200), stop loss below 1.1985.

Sell if pullback at 1.2118 (EMA 200) with take profit at 1.2060 and 1.2020, stop loss above 1.2155.