FX.co ★ Trading plan for EURUSD on August 16, 2022

Technical outlook:

EURUSD slipped to the 1.0147 lows in the early Asian session on Tuesday and is still trading close to intraday lows around the 1.0150 mark. The currency pair had reversed from close to the 1.0294 highs over the last week and has reached the Fibonacci 0.50 level of the recent upswing as seen on the daily chart here. Potential remains for 1.0100 support before the rally could resume.

EURUSD has carved a meaningful larger degree downswing between 1.2350 and 0.9952 levels, which is being retraced. Prices are expected to rally through the 1.0800-1.0900 zone before finding resistance since it is the Fibonacci 0.382 level of the entire downswing. The short to medium term structure is still looking constructive for bulls until prices stay above the 0.9952 mark.

EURUSD has been working on its recent upswing between the 0.9952 and 1.0294 levels since last month. Prices are retracing lower and expected to reach up to the 1.0100 mark, which is also the Fibonacci 0.618 level of the above upswing. Bulls would remain in control until prices stay above the 0.9952 mark going forward.

Trading plan:

Potential rally from 1.0100 towards 1.0800-1.0900 against 0.9952

Good luck!