What Next In EURUSD
Key Levels:
1. Resistance Levels:
o The red supply zone above (around 1.04500) represents a key resistance area.
Price has rejected this level in the past, showing that sellers are active there.
o Another small resistance zone is identified near 1.04390 from previous candles.
2. Support Levels:
o The light blue demand zone below (1.04126) acts as a significant support area.
Buyers stepped in here previously, causing a rally.
o A second support level is near 1.04100, aligning with
the current price's point of interest (POI).
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Market Behavior:
1. Range-Bound Price Action:
o The note on the chart mentions that the price was in a range yesterday. This is evident as
price oscillates between the resistance zone (1.04500) and
the demand/support zone (1.04126).
o Breakout confirmation (upward or downward) is crucial for clarity on the next trend.
2. Current Price:
o The price is currently testing the demand zone (POI Level). If it holds, we may see a
bounce back toward resistance at 1.04500.
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💡 Technical Indicators:
1. Exponential Moving Average (EMA):
o The price is hovering near the blue EMA line, which is likely a 50-period EMA. This suggests
a mixed market sentiment where buyers and sellers are evenly matched.
o A strong price reaction above or below the EMA can indicate the next potential trend.
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📊 Supply and Demand Zones:
1. Supply Zone:
o The red supply zone at the top indicates strong selling pressure. Price will need strong
momentum to break through it.
2. Demand Zone:
o The light blue demand zone has seen active buyers before. It's a critical level for bulls to
maintain to avoid further downside.
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📊 Trading Plan:
1. For Buyers:
o Wait for a bullish reaction from the demand zone (1.04126) and a possible breakout above
the range (1.04500) to target higher levels.
o A bounce off the EMA would also signal bullish momentum.
2. For Sellers:
o Look for a rejection at the resistance zone (1.04500) or a confirmed break below the
demand zone at 1.04126 for shorting opportunities.
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⚠️Recommendation:
• Wait for Breakout:
o Avoid trading in the current range until a breakout occurs, as it is unclear if the price will
move higher or lower.
o Monitor for volume and candlestick patterns at key levels (rejections or breakouts).
This chart currently exhibits consolidation, requiring a patient approach for clarity on the
next directional move.
👉 Always follow TP/SL to protect your capital and maximize profits!
Stay tuned for updates once the confirmations are in place!
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analysis with you and share your opinion about the possible trend of this chart
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📢Best Regards , Silver Wolf Traders Community
Disclaimer: This is for educational purposes only.
Always trade responsibly and manage your risk effectively
