FX.co ★ Ichimoku cloud indicator analysis on EURUSD, for May 6, 2022.

EURUSD is trading around 1.0570. Price moved as low as 1.0483 challenging the support levels we mentioned yesterday. So far price respects the key support area around 1.0480-1.0490. Cloud resistance is found at 1.0575 and bulls must surpass this level if they want to take control of short-term trend.

EURUSD is trying to re-enter the Kumo. This would turn trend to neutral. Price confirmed the key support at 1.0490 area by testing it and bouncing higher. Currently price is trading above both the tenkan-sen and kijun-sen indicators. These two indicators provide short-term support at 1.0550-1.0560. A 4 hour close below this support area would be a sign of weakness.