EUR/USD: entry and exit points (June 13)
By Felipe Erazo
On the weekly chart, the EURUSD is finding support near the 1.3494 level, because this pair has been conducting a bearish correction from 1.3987 level. If EURUSD does make a breakout in the support level of 1.3494, next target would be the level of 1.3335, which coincides with the 200 SMA. The bullish trend in the long term could be overridden to make way for a deeper drop to the level of 1.3140, which coincides with the 500 SMA.
Furthermore, the closest resistance level to the EURUSD is 1.3678. If the pair does a consolidation above that level, it would be expected to rise to the next resistance level of 1.3803, in an effort to try to keep alive the bullish outlook in the long term. The CCI indicator is not showing any divergence yet.
Trading recommendation: For long-term traders, place sell orders below 1.3494 level, with a take profit at the support level of 1.3335. In the upside, place buy orders if the EURUSD does a breakout at the resistance level of 1.3678, with take profit at the 1.3803 level.
Chart. Weekly EUR/USD