EUR/USD rallied yesterday, breaking the 1.1390 (S1) resistance level (now turned to support) and tested the 1.1430 (R1) resistance line, stabilising during the Asian session below it.
We could see the pair correcting lower today as the RSI indicator is over the reading of 70 in the 4 hour chart, implying a rather overcrowded long position for the pair. Also today’s financial releases could provide some support for the USD side of the pair. Should the pair come under the selling interest of the market, we could see it aiming if not breaking the 1.1390 (S1) support line. Should on the other hand the pair find fresh buying orders along its path, we could see it breaking the 1.1430 (R1) resistance line and aiming for the 1.1480 (R2) resistance level.
We could see the pair correcting lower today as the RSI indicator is over the reading of 70 in the 4 hour chart, implying a rather overcrowded long position for the pair. Also today’s financial releases could provide some support for the USD side of the pair. Should the pair come under the selling interest of the market, we could see it aiming if not breaking the 1.1390 (S1) support line. Should on the other hand the pair find fresh buying orders along its path, we could see it breaking the 1.1430 (R1) resistance line and aiming for the 1.1480 (R2) resistance level.