FX.co ★ Technical analysis on EURUSD for February 6th, 2023.

Red lines- bullish channel

EURUSD is trading around 1.0740. Short-term trend has changed to bearish as price has exited the bullish channel it was in. Bulls were warned last week that a pull back was imminent. Our Ichimoku cloud indicator analysis also warned of the trend change in the near term. EURUSD is making new lower lows today losing in just three sessions what it gained in 3 weeks. The entire upward move from 0.9536 is most probably over. Horizontal support is found at 1.07-1.0710 near today's lows. Next support is at 1.0685 where we find the 23.6% Fibonacci retracement of the entire upward movement. Failure to hold above 1.0685-1.07 will lead EURUSD even lower towards 1.0470 where we find the 38% Fibonacci retracement. This is not the time to be bullish EURUSD as we believe that at least a major pull back has started.