The weekly technical levels of EUR/USD pair.
- The resistance of the EUR/USD pair sets at the level of 1.2205 which represents the weekly pivot point. So, if the trend will not able to break and close above the level of 1.2205. Then, it will be a downside momentum, which is rather convincing and the structure of the fall does not look corrective, for that the market will indicate a bearish opportunity at 1.2205. Hence, it will be a good sign to sell at this level in order to continue downward towards 1.2164 on H1 chart. Thus, according to the previous events, the price will move between the levels of 1.2205 and 1.2164 (the double bottom). Therefore, sell again below the double bottom 1.2164 because it looks for further downside with a target of 1.2138 (the weekly support 1).
- It should be noted that if there is no significant news to influence, the market price will be moving from pivot point to resistance 1 or support 1. But if there is significant news to influence, the market price may go straight through resistance 1 or support 1 and reach resistance 2 or support 2 and even resistance 3 or support 3.
- The resistances will set at the levels of 1.2205 and 1.2246 this week.
- The double top is going to set at the 1.2272 price.
- The area of 1.2205 is a useful spot to sell in the long term.
- We expect a small range of 55 pips on December 29, 2014.
The material has been provided by InstaForex Company – www.instaforex.com