EUR/USD key resistance at 1.0702, downside prevails in the short
The EUR/USD has rebounded from 1.0565 levels, erasing the earlier losses, after the Michigan Consumer Sentiment and New Home Sales data released from the US market printed negative figures. The pair continues to remain in bearish tone, despite the euro gaining some ground against greenback in the early US session. The short term picture depicts more bearish trend for this pair, as the RSI in the 4 hour chart is indicating downwards, the 55 ,30 and 20 MA pointing towards downwards .Overall the technical indicators are depicting downtrend for the pair.
To the upside, the strong resistance can be seen at 1.0702, a break above this level would expose the pair to next resistance level at 1. 0762 levels.
To the downside strong support can be seen at 1.0595, a break below at this level will open the door towards next level at 1.0556.
Recommendation: Go short around 1.0680, targets around 1.0570/1.0540, SL 1.0740
Support levels: 1.0595, 1.0556, 1.0515
Resistance levels: 1.5658, 1.0702, 1. 0762
To the upside, the strong resistance can be seen at 1.0702, a break above this level would expose the pair to next resistance level at 1. 0762 levels.
To the downside strong support can be seen at 1.0595, a break below at this level will open the door towards next level at 1.0556.
Recommendation: Go short around 1.0680, targets around 1.0570/1.0540, SL 1.0740
Support levels: 1.0595, 1.0556, 1.0515
Resistance levels: 1.5658, 1.0702, 1. 0762