EURUSD testing both its support and resistance

23 Mar 2018

EURUSD bounced nicely off its support at 1.2295 (61.8% Fibonacci retracement, horizontal overlap support) where it is now testing its 1st resistance at 1.2341 (50% Fibonacci retracement, horizontal overlap resistance). If it surpasses this level, it could potentially rise to its 2nd resistance at 1.2379 (61.8% Fibonacci extension, horizontal swing high resistance). However, we have also identified a descending resistance line that could hold prices down. If prices breaks past its 1st support, we could potentially see price falling to its 2nd support at 1.2237 (100% Fibonacci extension, horizontal overlap support).

Stochastic (89, 5, 3) is in the middle where it could either rise or fall.