EUR/USD on key level of support 1.1820, can we will see a break?

EUR/USD: The pair is traded at the bottom limit of consolidation or rectangle between 1.1820 - 1.2067 where it can find support and short-term growth.

Support 1.1820 is a key level because it is also a line of formation of the double top formation. Break below these levels will signal a possible deepening of the correction to the next 1.1676 support

The last few bars give negative price action signals, but consolidation makes them less likely to perform. The Pin Bar and the strong bearish bar suggest that we can see a break below 1.1820 soon, but until it becomes a larch is more likely

On the other hand, the pair forms two tops and a third lower and can be considered to have a double tip or a Head and Shoulders to decrease. However, the price should go below 1.1820 to give us a signal for a likely decrease to 1.1676

The price is still above 50 EMA, which indicates a higher probability of promotion. Sell ​​only after drop below 1.1820

The foundation in the short term is for a stronger dollar, but we can also witness the exacerbation of geopolitical tensions between the United States and North Korea and lead to a volatility and appreciation of the USD.

Stefan D. Angelov - Head of Stocks Trading

Read more:

• AUDUSD: key levels where we are looking for short positions
• AUDUSD bounces off the resistance zone despite the positivism during the Asian hours
• EURUSD in a tight range during the Asian session
• EUR in a recovery mode, but vulnerable | Technical levels
• EURUSD continues ranging in the early EU session. NFP data in focus at 15:30