FX.co ★ Technical analysis of EUR/USD for June 15, 2022

Overview :

Pivot : 1.0518.

The trend of EUR/USD pair movement was controversial as it took place in the downtrend channel. Due to the previous events, the price is still set between the levels of 1.0518 and 1.0360, so it is recommended to be careful while making deals in these levels because the prices of 1.0518 and 1.0360 are representing the resistance and support respectively.

Technical indicators on the EUR/USD pair on hourly chart:

Moving averages continue to give a very strong sell signal with all of the 50 and 100 SMAs successively below slower lines and below the price (1.0518). The 50 SMA has extended further below the 100 this week. Support from MAs comes initially from the value area between the 50 and 100 SMAs.

Therefore, it is necessary to wait till the downtrend channel is passed through. Then the market will probably show the signs of a bearish market.

Also, it should be noted that nowadays - we hear some strong fundamental news of ECB is worried about the fragmentation of the Eurozone. Consequently, Euro bears will need strong catalysts to push EUR/USD lower as the economic situation in the Eurozone is challenging.

In other words, sell deals are recommended below the price of 1.0518 with the first target at the level of 1.0360. From this point, the pair is likely to begin an descending movement to the price of 1.0360 with a view to test the daily support at 1.0267.

If the pair fails to pass through the level of 1.0518, the market will indicate a bearish opportunity below the strong resistance level of 1.0518. In this regard, sell deals are recommended lower than the 1.0518 level with the first target at 1.0360. It is possible that the pair will turn downwards continuing the development of the bearish trend to the level 1.0267. However, stop loss has always been in consideration thus it will be useful to set it above the last double top at the level of 1.0616 (notice that the major resistance today has set at 1.0616).

Daily key levels :

• Major resistance : 1.0616
• Minor resistance : 1.0567
• Pivot point : 1.0518
• Minor support : 1.0360
• Major support : 1.0267