Technical analysis update: EURUSD (7th July 2021)

We continue to observe divergence between price and RSI. This phenomenon is very similar to one that occured in gold recently just before reversal to the upside. We expect same to occur in EURUSD. Support currently sists around 1.18067 USD while resistance appears around 1.19753 USD. Overall we are bullish, however, if support becomes violated this could potentionally signal more downside for EURUSD. Despite that our short term price target still remains 1.20 USD and our medium price target remains 1.21 USD.

Recent divergence in gold price and RSI:

Here are our prior thoughts from 1st July 2021:

Here we pointed out coming divergence between price and RSI.

Here are more prior thoughts from 25th June 2021:

Disclaimer: This analysis is not intended to encourage buying or selling of any particular securities. Furthermore, it should not serve as basis for taking any trade action by individual investor. Your own due dilligence is highly advised before entering trade.

Trade closed: stop reached