Following a strong move higher that breached through several areas of resistance, the EURUSD is in danger of posting a double top if it fails from current support level.
The EURUSD closed at the downtrend line of the descending wedge that has captured the low volatility of the pair for the last couple years. Today, we tested that resistance near the 1.1140 level.
The EURUSD looks set to test the 109.00 level overnight, but traders should be aware of the longer term descending wedge which has held as support since 2017.
The EURUSD found support ahead of the 161% extension of the May lows to June highs near the 1.0920 level.
The EURUSD is quietly consolidating above the 200dma as price action continues to compress into a pennant.
The EURUSD has closed above the 200dma and also the 35% Fibonacci retracement of the Sept 2018 highs to April 2019 lows.
The EURUSD is at risk of a double bottom being formed since the 1.1110 level held as support once again.
The EURUSD has developed a triangle consolidation despite the AB=CD pattern pointing lower. Obviously, the risk moving forward is the China/US trade deal in the coming days.