EURUSD testing its support and resistance!

26 мар. 2018 г.

EURUSD is testing its descending resistance-turned support line and its 1st resistance at 1.2382 (61.8% Fibonacci extension, 61.8% Fibonacci retracement). If it surpasses this level, price would have made a bullish exit from its descending line which could potentially push price to its 2nd resistance at 1.2438 (100% Fibonacci extension, horizontal swing high resistance). If price gets held down by its descending line and breaks past its 1st support at 1.2320 (61.8% Fibonacci extension, 61.8% Fibonacci retracement) it could potentially fall to its 2nd support at 1.2295 (61.8% Fibonacci retracement, horizontal overlap support) or to its 3rd support at 1.2253 (61.8% Fibonacci extension, horizontal swing low support.

RSI (89, 5, 3) shows it getting squeezed by its resistance and support. We have to keep an eye on the break of these levels as a potential signal of where price might be heading.