Euro / U.S. DollarShort
EurUsd- Long Run "Dec Expectations"
Support and Resistance Levels:
The green zone highlights the key support level, which the price has recently respected. This aligns with the expectation of a bullish December if the support holds.
The pink zone represents a significant resistance area. Historically, the price has reversed upon testing this zone.
Weekly and Monthly Dynamics:
During the weekly timeframe, the price closed below long-term support but was rejected by the Weekly Order Block (OB), creating mixed signals. Staying below the 1.061–1.062 zone supports the case for a bearish week.
If the price pushes above this sell zone, we could see a potential test of the upper resistance levels highlighted.
Expected Scenarios:
The blue lines represent a bearish scenario where the price may break below the support zone, testing lower levels around the swing low before a potential recovery.
The black lines indicate a bullish scenario where the price builds momentum above the swing high, with targets set near the upper resistance zone.
Initial Movements:
The price action early in the week (Monday and Tuesday) will be crucial to confirm whether the bullish or bearish scenario unfolds.
By combining the chart's structure with the previously mentioned observations, we have a clear roadmap. Staying below the 1.061–1.062 range could lead to bearish price action, while a break above this zone might signal a recovery toward higher resistance levels.
The green zone highlights the key support level, which the price has recently respected. This aligns with the expectation of a bullish December if the support holds.
The pink zone represents a significant resistance area. Historically, the price has reversed upon testing this zone.
Weekly and Monthly Dynamics:
During the weekly timeframe, the price closed below long-term support but was rejected by the Weekly Order Block (OB), creating mixed signals. Staying below the 1.061–1.062 zone supports the case for a bearish week.
If the price pushes above this sell zone, we could see a potential test of the upper resistance levels highlighted.
Expected Scenarios:
The blue lines represent a bearish scenario where the price may break below the support zone, testing lower levels around the swing low before a potential recovery.
The black lines indicate a bullish scenario where the price builds momentum above the swing high, with targets set near the upper resistance zone.
Initial Movements:
The price action early in the week (Monday and Tuesday) will be crucial to confirm whether the bullish or bearish scenario unfolds.
By combining the chart's structure with the previously mentioned observations, we have a clear roadmap. Staying below the 1.061–1.062 range could lead to bearish price action, while a break above this zone might signal a recovery toward higher resistance levels.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.