EUR/USD (daily chart) has struggled to continue its advance just under the key 1.3300 resistance, a level that has served as major support and resistance in the past, most recently just late last week. This pause below resistance comes after a substantial advance for the past two weeks that brought prices up from close to the 1.2800 support all the way up to the current highs near 1.3300 resistance. In the process of this climb, prices broke out above key prior resistance levels, including the 1.3000 figure (also around the 50-day moving average) and the 1.3150 level. The pair has also risen above the rough head-and-shoulders pattern of late April and early May.
Having now bumped up against and retested major 1.3300 resistance, EUR/USD is now at a critical juncture. A strong breakout above 1.3300 would clearly confirm a bullish trend continuation, with further upside resistance targets around 1.3500 and then 1.3700. If 1.3300 is respected as resistance with a turn back to the downside, the major intermediate support objective remains around the key 1.3000 level.
EUR/USD" width="1428" height="702">
Disclosure: FX Solutions assumes no responsibility for errors, inaccuracies or omissions in these materials. FX Solutions does not warrant the accuracy or completeness of the information, text, graphics, links or other items contained within these materials. FX Solutions shall not be liable for any special, indirect, incidental, or consequential damages, including without limitation losses, lost revenues, or lost profits that may result from these materials.
The products offered by FX Solutions are leveraged products which carry a high level of risk to your capital with the possibility of losing more than your initial investment and may not be suitable for all investors. Ensure you fully understand the risks involved and seek independent advice if necessary.