Technical Analysis of EUR/USD for January 15, 2021

Technical Market Outlook:

The EUR/USD pair has made a new swing low under the long term trend line support. The level of 1.2111 is the new low, so if this level is clearly violated, then the next target for bears is seen at the level of 1.2088 and 1.2060. The zone between the levels of 1.2154 - 1.2177 will now act as the supply zone. The weak and negative momentum supports the short-term bearish outlook for Euro. The larger time frame trend remains up.

Weekly Pivot Points:

WR3 - 1.2446

WR2 - 1.2395

WR1 - 1.2293

Weekly Pivot - 1.2204

WS1 - 1.2134

WS2 - 1.2082

WS3 - 1.1981

Trading Recommendations:

Since the middle of March 2020 the main trend is on EUR/USD pair has been up. This means any local corrections should be used to buy the dips until the key technical support seen at the level of 1.1609 is broken. The key long-term technical resistance is seen at the level of 1.2555. The market made the Falling Wedge trend reversal pattern around the levels of 1.2200 - 1.2300 and now the corrective cycle might have started. Any violation of the level of 1.2154 supports the trend change/corrective cycle scenario.