EUR/USD remains under pressure on ECB day – Confluence Detector
EUR/USD has been unable to recover and remains below 1.11, in familiar ranges as the European Central Bank's decision is awaited.
The Technical Confluences Indicator is showing that euro/dollar is facing fierce resistance at 1.1094, which is a dense cluster including the Simple Moving Average 50-15min, the SMA 200-15m, the SMA 50-1h, the Bollinger Band 15min-Upper, the BB 4h-Middle, the Fibonacci 23.6% one-day, and the Fibonacci 61.8% one-month.
It is closely followed with additional resistance lines culminating at 1.1151, which is the convergence of the Pivot Point one-week Resistance 1 and the Fibonacci 38.2% one-month.
Looking down, some support awaits at 1.1071, which is the confluence of the PP one-month Support 1, the previous day's low, the BB 1d-Lower, and the PP 1w-S1.
Further down, the next target is 1.1002, which is where the previous month's low hit the price.
Here is how it looks on the tool:
The Confluence Detector finds exciting opportunities using Technical Confluences. The TC is a tool to locate and point out those price levels where there is a congestion of indicators, moving averages, Fibonacci levels, Pivot Points, etc. Knowing where these congestion points are located is very useful for the trader, and can be used as a basis for different strategies.
This tool assigns a certain amount of “weight” to each indicator, and this “weight” can influence adjacents price levels. These weightings mean that one price level without any indicator or moving average but under the influence of two “strongly weighted” levels accumulate more resistance than their neighbors. In these cases, the tool signals resistance in apparently empty areas.
Learn more about Technical Confluence