For Traders

Analytical Reviews

Technical analysis

16.05.202215:50 Forex Analysis & Reviews: Technical analysis on EURUSD for May 16, 2022.

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

EURUSD starts the week slightly positive just above 1.0410. Trend remains bearish in the higher time frames as price continues to trade inside major downward sloping channels making lower lows and lower highs. In the short-term a bounce is justified but as long as price is below 1.09, we consider each bounce as a selling opportunity.

Blue lines- bearish channel

Red lines- Fibonacci extension

EURUSD has reached the 100% extension target of the first leg down. Price is trading at price levels not seen after 2017. Trend is clearly bearish with no sign of a reversal. Short-term resistance is found at 1.0645. A move towards that level is very probable over this week. As long as price is below 1.0650 EURUSD will remain vulnerable to more downside.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.