EURUSD Nose Dive Below 1.1850 Event Area – Bears to Continue Further?


EURUSD has become volatile and still holding the price below 1.1880 to 1.1850 area. EURUSD nose dive below 1.1850 psychological event area. Bears to continue the bearish pressure further 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.

July 13, 2021, | AtoZ Markets – EURUSD is currently trading around 1.1845 area and trying to decline further downside. After bouncing from 1.1770 to 1.1790 support level, the bulls have regained momentum and pushed the price upside impulsively, but failed to sustain the bullish pressure over 1.1850 to 1.1880 resistance area. As per the current price action, the price may face strong support at the falling wedge pattern’s resistance in the coming days.

EURUSD Nose Dive As the Event Level Working Strongly

EURUSD is currently residing near 1.1845 area and trying to push lower. However, the price also broke below the dynamic level on the intraday chart.

EURUSD Nose Dive

Image: EURUSD 4 Hour Chart

According to the 4-hour chart, EURUSD nose dive and currently trading around 1.1845 area. As per the current price action, if the price bounces higher from 1.1850 to 1.1880 area with an impulsive bullish candle, the bulls may regain momentum and push the price upside towards 1.1970 to 1.1990 area in the coming days. On the contrary, if the price can have an impulsive bearish candle close below 1.1880 to 1.1850 area, the bears may push the price down towards 1.1790 to 1.1770 area in the process.

In addition, the dynamic level of 20 EMA is currently residing near the price. Along with the Bollinger Bands middle band. So, the dynamic level of 20 EMA may work as strong support if the price can have an impulsive bullish candle close above it. Besides, the Bollinger Bands middle band may work as a confluence of the dynamic level in the days ahead. On the other hand, the dynamic level may work as strong resistance if the price can have a bearish candle close below it.

EURUSD Bears Are Still Active on the Market

According to the daily chart, EURUSD nose dive as the bears are still optimistic. As per the current price action context, if the price can have an impulsive daily bearish candle close below 1.1880 to 1.1850 resistance area, the bears may push the price downward towards 1.1790 to 1.1770 area as a first target. The second target will be 1.1720 to 1.1700 area if the price can break below 1.1790 to 1.1770 support level in the coming days. Alternatively, if the price can have a daily bullish candle close above 1.1850 to 1.1880 area, the price may recover higher towards 1.1970 to 1.1990 area in the days ahead.

EURUSD Nose Dive

Image: EURUSD Daily Chart

Furthermore, the dynamic level of 20 EMA is currently residing above the price, which may work as strong resistance to push the price down. Also, 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.

To conclude, as long as the price residing below the dynamic level of 20 EMA, the bias will remain bearish. As the overall momentum is still bearish, there is a high chance that the bears may continue further downside in the coming days. 

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