Forex: Euro To US Dollar (EUR/USD) - Possible Scenarios

Relevance up to 09:00 2022-07-20 UTC+2 Company does not offer investment advice and the analysis performed does not guarantee results. The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Trend analysis (Fig. 1).

The euro-dollar pair may move upward from the level of 1.0141 (close of yesterday's daily candle) to 1.0204, the 38.2% retracement level (red dotted line). When testing this level, an upward movement is possible to 1.0257, the 21-period EMA (thin black line). From here, the price may move down.

Fig. 1 (daily chart).

Comprehensive analysis:

Indicator analysis – up;
Fibonacci levels – up;
Volumes – up;
Candlestick analysis – up;
Trend analysis – up;
Bollinger bands – up;
Weekly chart – up.

General conclusion:

Today the price may move upward from the level of 1.0141 (close of yesterday's daily candle) to 1.0204, the 38.2% retracement level (red dotted line). When testing this level, an upward movement is possible to 1.0257, the 21-period EMA (thin black line). From here, the price may move down.

Alternative scenario: from the level of 1.0141 (close of yesterday's daily candle), the price may move upward to 1.0204, the 38.2% retracement level (red dotted line). When testing this level, a downward movement is possible to the historical support level 1.0114 (blue dotted line). When testing this level, the price may move up.

InstaForex Analysis

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