The quotations of the main currency pair have been moving in a downward trend since the end of September last year. However, the second half of January brought an upward correction, which reached the key resistance zone at 1.0460, where the upper limit of the 1:1 system and previous price reactions fall. A rebound here according to the Overbalance methodology could lead to a resumption of the downtrend. The downward movement may accelerate when the price returns below 1.0335. On the other hand, should the mentioned geometry at 1.0460 be negated, the price may move towards the EMA100 average - the blue line.
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EURUSD D1 interval. Source: xStation5
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Create account Try a demo Download mobile app Download mobile appLooking at the lower time frame - H4, after the rebound from the zone at 1.0460, the price began to fall, if the downward movement continues, the lower limit of the local 1:1 pattern at 1.0360 (yellow rectangle) should be considered as the nearest support. Just below is the mentioned 1.0335 zone, which is also implied by the higher time interval. A breakout below 1.0335 could lead to an acceleration of the downtrend and a move towards the last low.
EURUSD H4 interval. Source: xStation5
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