November 16, 2020 : EUR/USD Intraday technical analysis and trade recommendations.
Intraday traders should have noticed the recent bearish closure below 1.1700. This indicated bearish domination for the market on the short-term.
However, the EURUSD pair has failed to maintain sufficient bearish momentum below 1.1625 (38% Fibonacci Level). Instead, another bullish breakout was being demonstrated towards 1.1870 which corresponds to 76% Fibonacci Level.
As mentioned in previous articles, the price zone of 1.1870-1.1900 stood as a solid SUPPLY Zone corresponding to the backside of the broken channel.
Moreover, the recent bearish H4 candlestick closure below 1.1770 was mentioned in previous articles to indicate a valid short-term SELL Signal. All bearish targets were already reached at 1.1700 and 1.1630 where the current bullish recovery was initiated.
The recent bullish pullback towards the price zone of 1.1870-1.1900 was supposed to be considered for signs of bearish rejection and another valid SELL Entry. S/L should be placed just above 1.1950.
Bearish closure and persistence below 1.1777 (61.8% Fibonacci Level) is needed to enhance further bearish decline at least towards 1.1630.
Otherwise, another bullish pullback towards 1.1870-1.1900 shouldn’t be excluded.
The material has been provided by InstaForex Company – www.instaforex.com