Overview:
- The EUR/USD pair has faced strong resistances at the levels of 1.1114 because support had become resistance. So, the strong resistance has been already formed at the level of 1.1114. Also, it should be noted that the market has opened below the 1.1114 level. The first resistance is seen at the 1.1087, for that the pair is likely to try to approach it in order to test it again. However, if the pair fails to pass through the level of 1.1087, the market will indicate a bearish opportunity below the new strong resistance level of 1.1087 (the level of 1.1087 coincides with a ratio of 50% Fibonacci). Moreover, the RSI starts signaling a downward trend, as the trend is still showing weakness below the moving average (100). Thus, the market is indicating a bearish opportunity below 1.1087, so, it will be good to sell at 1.1087 with the first target of 1.1031. It will also call for a downtrend in order to continue towards 1.0962. The weekly strong support is seen at 1.0906. However, the stop loss should always be taken into account, for that it will be reasonable to set your stop loss at the level of 1.1160.
