EURUSD bears have regained momentum and pushed the price downside towards April 2021's low. EURUSD bounced higher from 1.1850 support level. Will the price recover further upward in the coming days? What are the charts and technical indicators are saying? Read more to find further insights into today’s EUR/USD Technical Analysis.
June 22, 2021, | AtoZ Markets - EURUSD is currently trading around 1.1892 area and trying to push lower. After rejecting 1.2150 to 1.2120 resistance area, the bears have regained momentum and pushed the price downside aggressively, and hit 1.1870 to 1.1850 psychological event level. As per the current price action, the price may recover higher towards the dynamic level on the daily chart in the coming days.
EURUSD Bounced Higher As the Price Requires an Upward Retracement
EURUSD is currently residing near 1.1892 area and trying to push downward. However, the price had an impulsive daily bullish candle close after bouncing from 1.1850 to 1.1870 support level.
Image: EURUSD 4 Hour Chart
According to the 4-hour chart, EURUSD bounced higher and currently trading around 1.1892 area. As per the current price action, the price may decline towards 1.1870 to 1.1850 area in the process. So, if the price declines towards 1.1870 to 1.1850 area and bounced upside with an impulsive bullish candle, the bulls may push the price upward towards 1.1980 to 1.2000 area in the coming days.
Furthermore, the dynamic level of 20 EMA is currently residing over the price. So, the bulls may regain momentum if the price can break above the dynamic level in the days ahead. Along with this, the MACD lines are currently residing below the 0.00 level and had a bullish crossover. It indicates that the bulls may regain momentum in the process.
EURUSD May Revert Back to the Mean
According to the daily chart, EURUSD bounced higher as the price requires an upside retracement. As per the current scenario, the price may retrace higher towards 1.1980 to 1.2000 area in the process. So, if the price retraces towards 1.1980 to 1.2000 resistance area and rejects with an impulsive daily bearish candle, the bears may sustain the bearish pressure towards 1.1870 to 1.1850 area as a first target. The second target will be 1.1720 to 1.1700 area if the price can break below 1.1870 to 1.1850 support level in the coming days.
Image: EURUSD Daily Chart
In addition, the dynamic level of 20 EMA is currently residing above the price. Along with the Kijun line and the Tenkan line. So, the dynamic level may pull the price upside as a mean reversion. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level in the process. Moreover, the Kumo Cloud is also residing over the price, which may hold the price as strong resistance.
To conclude, after an impulsive bearish momentum, the price requires an upward retracement at least towards 1.1980 to 1.2000 resistance level. As the overall momentum is still bearish, there is a high chance that the price may decline further lower after an upside retracement in the coming days.