Technical Analysis of EUR/USD for March 5, 2021

Technical Market Outlook:

The EUR/USD pair has broken below the short-term trend line support around the level of 1.2045 and made a new local low at the level of 1.1949. There might some bounce here, because the level of 1.1958 is the 61% Fibonacci expansion of the last wave down, so the price might test the level of 1.1994. This is the key short term technical resistance for the market and any violation of this level will be the first confirmation the bottom had been made. If, however, this level is not cleared, then the next target for bears is seen at 1.1908.

Weekly Pivot Points:

WR3 - 1.2341

WR2 - 1.2290

WR1 - 1.2158

Weekly Pivot - 1.2111

WS1 - 1.1978

WS2 - 1.1931

WS3 - 1.1796

Trading Recommendations:

Any local corrections should be used to buy the dips until the key technical support seen at the level of 1.1953 is broken, because since the middle of March 2020 the main trend is on EUR/USD pair has been up. The key long-term technical resistance is seen at the level of 1.2555. Any violation of the level of 1.2175 supports the trend change/corrective cycle scenario.