Market Analysis: EURUSD Experiences Momentum Slip
The EURUSD battle as sellers pull strings. These two opposing forces constantly vie for control, pushing the price up and down. In recent times, the bulls have enjoyed a consistent ride, pulling the price from the market level of 1.07960 earlier this month. However, their momentum seems to have waned as they faced resistance at the significant level of 1.09820.
The bulls started their ascent in February, marking a change in trend from the previous bearish sentiment. Their consistent move upward brought hope to buyers, who saw the potential for further gains.
EURUSD Key Levels
Resistance Levels: 1.09820, 1.09130
Support Levels: 1.07960, 1.06970
However, this week has seen a shift in momentum, with sellers emerging and the euro price losing interest in pursuing higher levels. The 1.09820 market zone has become a point of rejection, pulling buyers out and creating a sense of uncertainty.
One indicator that traders closely monitor is the momentum indicator. It provides insights into the strength or weakness of a trend. Currently, there is a slip in the signal line, indicating a potential shift in market sentiment.
Traders should pay attention to how sellers react to the significant level of 1.09130. If buyers manage to regain control and push the price back up through this level, it could be a sign that the sellers are merely causing a temporary pullback. To navigate the volatile forex market, traders often rely on forex signals to identify accurate opportunities.
Market Expectation
In the short term, the buyers have pulled out, and the price is playing lower. The decline in buying momentum suggests that the price may continue to pull lower towards the significant level of 1.09130. Traders should closely monitor the price action and look for confirmation signals before entering any trades.
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