EURUSD, Confirmed Movements Pointing To Next Destinations!

Hi, welcome to this update-analysis about EURUSD weekly perspectives, EURUSD has confirmed the massive resistance cluster as expected to the downside, the 500-EMA resistance and horizontal level where confirmed bearishly and it was actually a good short entry determined also on the smaller timeframes, if you did not see this analysis already I highly recommend that you watch it to have a full-depth-overview. Now as EURUSD provided the first expect to move to the downside the question is with what pace the next down moves will occur as an immediate bullish reversal is unlikely also when these down moves can stop, that EURUSD now established such bearishness to the downside does not mean it is forever bearish therefore I detected the important levels and possible outcomes we should consider in the current market situation.

Looking at my chart you can watch the first heavy move now established, on smaller timeframes EURUSD found some support which can indicate a smaller wave to the upside the next times, this wave will run directly into resistance again and set up the next major wave to the downside which can form the C wave in the bigger ABC wave-count, the determination will end till there is substantial support found that can possibly reverse the perspective, the first supports coming into this criteria is the upper boundary of the massive channel marked in blue in my chart coming together with the 60-EMA marked in green also horizontal support lying there building a logical and coherent back-up-cluster as it is marked in blue in my chart, when the price approaches this level it has to be elevated how the bounce looks like and if it is strong enough.

When EURUSD manages to hold the supports lying down in the structure which is likely when it visits these areas a stabilization can be expected, here it is from high importance that EURUSD manages to form a strong bullish move in this structure to move higher and possibly establish the bullishness again seen before, when this does not happen and the EURUSD falls below the upper boundary it will increase the possibility for more bearish downside action below this level, till there is not a substantial reversal formed the trend remains to the downside however as these supports are solid enough a reversal in the blue cluster can be expected, it will be interesting to see how EURUSD develops further here.

In this manner, thank you for watching, support for more market insight, good day to you, and all the best!
"Trading effectively is about assessing possibilities not certainties."

Information provided is only educational and should not be used to take action in the markets.