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.
