Technical analysis of EUR/USD for 12/06/2019:

Technical Market Overview:

The EUR/USD pair step by step is slowly climbing higher towards the technical resistance at the level of 11347, but there is a clear bearish divergence between the price and momentum oscillator in overbought market conditions. If the local technical support at the level of 1.1305 is clearly violated, then the sell-off might accelerate towards the level of 1.1250 or even 1.1224. That move down will be considered as a local pull-back as along as new low is made below 1.1118, so the outlook remains bullish.

Weekly Pivot Points:

WR3 – 1.1598

WR2 – 1.1464

WR1 – 1.1422

Weekly Pivot Point: 1.1290

WS1 – 1.1228

WS2 – 1.1091

WS3 – 1.1040

Trading Recommendations:

The best strategy in the current market conditions is to trade in the direction of the main trend, which is now up. All the local pull-backs and corrections should be treated as another opportunity to open the buy orders for a better price. There is a downtrend reversal sign on the weekly time-frame chart, which is why the recent move up might be the beginning of the new uptrend.

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The material has been provided by InstaForex Company – www.instaforex.com