FX.co ★ Ichimoku cloud indicator analysis on EURUSD for August 4, 2021.

EURUSD is trading around 1.1835 after getting rejected earlier today at 1.19. Daily trend remains bearish according to the Ichimoku cloud indicator as price is still below the Kumo (cloud). Our technical analysis of previous posts noted a reversal to the upside when price was trading below 1.18.

Price is trading above both the tenkan-sen and kijun-sen indicators in the Daily chart. Support by these two indicators is at 1.1830. The Chikou span (blue line indicator) is also trading below the candlestick pattern. If the expected bounce is to resume its up trend, then we should expect EURUSD to find a higher low around 1.1830 and then start its upward move towards the cloud resistance at 1.1945 which is our first target. Breaking below 1.1830 will be a sign of weakness.