EurUsd is testing support. What can be next?

2024년 3월 18일

In my previous analysis of EURUSD, I mentioned that once the pair breaks and stabilizes above the 1.08 zone, we could expect a rise toward 1.1.
Indeed, that scenario played out, and after reaching a high near that zone, EURUSD began to correct.

Currently, the pair is trading near an old resistance, which has now turned into support. Typically, we would anticipate a new upward movement from this point.
However, in my opinion, this will not be the case due to the structure of the rise from 1.07. It lacks impulse and can be interpreted as an ABCD type of correction for the initial downward leg from the beginning of the year and the strong sell-off from last week.

In conclusion, I am looking to sell rallies in the 1.0920 zone, anticipating a break below confluence support and a drop back to the 1.07 zone once again.

2024년 3월 19일

노트

As expected, rallies above 1.09 were sold.
Now we broke confluence support and my bias is more bearish than yesterday.
Sell rallies is the idea going further