EURUSD Stabilizes After Decline: Potential Upside Ahead
After nearly 27 days of consistent decline, from as high as 1.1205 down to 1.0761, EURUSD appears to be stabilizing, and showing signs of a potential reversal. Two key factors suggest this. First, the pair is bouncing off an upward trend line that supported prices on June 26. Additionally, yesterday saw a false breakdown below the August 1 lows, and now the price is pushing higher.
However, the pair isn't out of danger yet. It may trade between 1.0873 and 1.0761 for a while. If this range narrows, a good risk to reward entry for an upside move could emerge. On the other hand, a break below 1.0761 after a few days of consolidation could push the price to the next support level at 1.0665 (the June 26 low).
This content is not directed to residents of the EU or UK. Any opinions, news, research, analyses, prices or other information contained on this website is provided as general market commentary and does not constitute investment advice. ThinkMarkets will not accept liability for any loss or damage including, without limitation, to any loss of profit which may arise directly or indirectly from use of or reliance on such information.
However, the pair isn't out of danger yet. It may trade between 1.0873 and 1.0761 for a while. If this range narrows, a good risk to reward entry for an upside move could emerge. On the other hand, a break below 1.0761 after a few days of consolidation could push the price to the next support level at 1.0665 (the June 26 low).
This content is not directed to residents of the EU or UK. Any opinions, news, research, analyses, prices or other information contained on this website is provided as general market commentary and does not constitute investment advice. ThinkMarkets will not accept liability for any loss or damage including, without limitation, to any loss of profit which may arise directly or indirectly from use of or reliance on such information.
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