FX.co ★ Technical Analysis of EUR/USD for August 1, 2022

Technical Market Outlook:

The EUR/USD pair is set to rally higher as the ABC correction unfolds. The potential target for the wave C is seen at the level of 1.0361, however so far the bulls can't break through the intraday supply one located between the levels of 1.0231 - 1.0281. The next technical resistance is seen at the level of 1.0361, the nearest technical support is located at the level of 1.0126 and 1.0076. The last biggest bounce had been capped at the supply zone seen between the levels of 1.0470 - 1.0490, since then all the bounces are shallower and used by market participants to short the EUR.

Weekly Pivot Points:

WR3 - 1.0294

WR2 - 1.0258

WR1 - 1.0240

Weekly Pivot - 1.0222

WS1 - 1.0204

WS2 - 1.0186

WS3 - 1.0150

Trading Outlook:

The monetary parity level as the first target for bears in the long term had been hit and the Euro is still being under the bearish pressure. There is no sign of relief for the EUR as the down trend should continue lower. The up trend can be continued towards the next long-term target located at the level of 1.1186 only if the complex corrective structure will terminate soon (above 1.0000) and the level of 1.0726 is clearly violated.