EURUSD has become volatile but still holding the bullish bias above 1.1780 area. EURUSD to break above 1.1780 psychological support zone? What are the charts and technical indicators are saying? Read more to find further insights into today’s EURUSD Technical Analysis.
September 8, 2020, | AtoZ Markets – EURUSD is currently trading around 1.1790 area and trying to push downside. The price also broke below the dynamic level of 20 EMA on the daily chart. As per the current price action, EURUSD may face strong support around 1.1780 area in the coming days.
In addition, the United States securities exchange’s two-day tech-drove fall a week ago has restored investor stresses over a winding of selling that could crash the more extensive market, yet Rick Rieder, head of the BlackRock (NYSE:BLK) Global Allocation group, doesn’t see stocks going off a cliff. Moreover, Rick Rieder said in a Reuters interview that he thinks the market is going to prop up higher.
On the other hand, the Chairman of EU leaders Charles Michel said today, “Our industrial methodology will encourage more prominent autonomy and ensure we approach all the essential assets to guarantee the success of our residents. This incorporates, for example, more noteworthy independence in creating processors, imperative drugs, and other essential items.”
EURUSD to Break Below as the U.S. Economy Is Recovering Slowly
EURUSD is currently residing near 1.1790 area and trying to decline. The price also broke below the Kijun line and the Tenkan line on the intraday chart.
Image: EURUSD 4 Hour Chart
According to the 4-hour chart, EURUSD to break below and currently trading around 1.1790 area. As per the current price action, if the price pushes further down and breaks below 1.1780 area, the bears may sustain the bearish pressure towards 1.17 support level. Alternatively, if the price bounces higher from 1.1780 area with an impulsive 4-hour bullish candle close, the bulls may recover higher towards 1.19 area in the coming days.
In addition, the dynamic level of 20 EMA is currently residing above the price. It may act as strong resistance to push the price downward. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level in the process.
EURUSD May Break Below the Bullish Channel
According to the daily chart, EURUSD to break below and currently residing near 1.1790 area. As per the current price action, if the price can break below the bullish channel support and had a daily close below 1.1780 area, the bears may sustain the bearish pressure towards 1.17 support area in the days ahead. In contrast, if the price bounces higher from the bullish channel support, the bulls may push the price upward towards, 1.19 area as a first target. The second target will be 1.20 area if the price breaks above 1.19 area in the coming days.
Image: EURUSD Daily Chart
Furthermore, the dynamic level of 20 EMA is currently residing above the price, which may act as strong resistance in the process. Also, the MACD lines are currently residing above 0.00 level and gradually sloping down. It indicates that bears may continue the bearish pressure further. Besides, the RSI line is currently residing below the overbought level and also moving downside.
To conclude, after gaining more than 700 pips, EURUSD showing strong bearish pressure. A daily close is required to identify the definite momentum in the days ahead.