Support and Resistance Are Stable Points When Trading

Pivot point, support and resistance calculations are widely accepted as the simplest yet most effective trading strategy. They are well trusted by traders, banks and all financial institutions as clear indicators of the strength or weakness of the market. They are used as the basis for most technical analysis. The pivot point is the point in which the market sentiment changes from bearish to bullish. 

Technical Analysis

The EUR/USD pair has broken the resistance level and turned towards the support level point of 1.2903. Therefore, the pair has already formed a strong support at 1.2803 / 1.2894. The pair has also formed a strong support at the level of 1.2803 / 1.2894. The pair tends to move above 1.2803 / 1.2894 with the first target at 1.2970 initiating an uptrend in order to continue the bullish mood towards the point of 1.3015 and further to 1.3130.

If the trend breaks the weekly pivot point (1.3017), then the pair will go upwards to these targets. However, it’s last strong resistance level (1.3140) is still able to begin a downtrend. Thus, the market indicates a bearish opportunity at the level 1.3140 on a 4 hours chart with the first target at 1.3090 and continues towards 1.3000. 

Weekly Pivot Points:

Resistances

R3: 1.3392

R2: 1.3266

R1: 1.3143

Pivot Point: 1.3017

Supports

S1: 1.2894

S2: 1.2768

S3: 1.2645

Good Luck Trading!