Chart of the day - EURUSD (05.02.2021)

EURUSD broke below the psychological support at 1.20 yesterday, hinting that a deeper decline may be looming. Moreover, the pair has also broken below the 100EMA on D1 interval. Nevertheless, it is worth noting that corrections of a similar size have occurred twice since March 2020 and they did not manage to derail the uptrend. According to the Overbalance methodology, as long as the price stays above 1.1930 handle, bulls may regain advantage. Traders should expect elevated volatility on EURUSD at 1:30 pm GMT, when the US labour market data is released.

Source: xStation5

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Forex

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