EUR/USD Technical Analysis – March 15, 2024

In today’s Forex market, the EUR/USD pair exhibited limited volatility during the Asian session, with a tight range of merely 12 pips, finding a temporary footing around the 1.087 mark.

Today’s Technical Landscape:

The Pivot Point for the day is established at 1.09068, serving as a critical juncture for determining the pair’s directional bias. As we navigate through the trading day, several key levels are in focus:

  • Resistance Levels: The first resistance (R1) is noted at 1.0933, followed by a more substantial barrier (R2) at 1.0981, and the third resistance (R3) at 1.10072. These levels could cap upward movements and serve as potential turning points.
  • Support Levels: On the downside, initial support (S1) is identified at 1.08588, with further cushions (S2) at 1.08326 and (S3) at 1.07846. These are crucial for holding the pair’s declines and could act as springboards for rebounds.

Moving Averages and Key Zones:

Currently, the 89EMA is positioned just below the Pivot Point, indicating a neutral to slightly bearish sentiment. Meanwhile, the 200EMA aligns closely with the Pivot Point area, reinforcing its significance as a pivotal level for today’s trading dynamics.

Additionally, we are monitoring two important zones that could influence the pair’s movements:

  • Downside Support Zone: Around 1.086, marking the low of March 7, this area represents a significant support level. A sustained move below this zone could signal further bearish momentum and target lower support levels.
  • Upside Resistance Zone: Approximately at 1.0945, this level corresponds to yesterday’s Pivot Point, which saw multiple tests but remained unbreached. A break above this resistance could pave the way for further gains towards R1 and potentially R2.

Trading Strategy and Considerations:

Given today’s technical setup, traders should keep a close eye on the Pivot Point at 1.09068 for potential trade setups. A decisive move above this level could warrant a bullish outlook, targeting R1 and possibly higher resistances if momentum persists. Conversely, a breakdown below the Pivot Point may validate bearish scenarios, with S1 and lower supports in sight.

As always, it’s crucial to consider the impact of upcoming high-impact news releases on the EUR/USD pair. Today’s economic calendar, featuring Retail Sales from the Eurozone and key US indicators like the NY Empire State Manufacturing Index and Michigan Consumer Sentiment, could introduce significant volatility and directional cues.

Conclusion:

As we approach today’s trading with a balanced view, maintaining a keen eye on pivotal levels and upcoming economic data will be essential. Adhering to sound risk management practices and staying adaptable to the evolving market conditions will be key to navigating today’s EUR/USD landscape effectively.

Trading our dreams into reality,

Mihai Paul Olteanu