EURUSD is correcting before the downward movement

06.12.2021

Daily: The Eurodollar appears to be confirming a pullback down from the Bollinger Middle Line at 1.1322, although we don’t see any trending potential from the ADX.

Н4: Here ADX activity also indicates a flat, so the price will probably not go beyond the lower Bollinger band (1.1280-1.1312).

Н1: On the hourly time frame, support is at 1.1274. So, the consolidation zone for today is 1.1274-1.1300. But the presence of the ADX trend potential means that in the event of a breakout, volatility can increase.

Scenarios:

  • The main one is fluctuations in the range 1.1274-1.1300.
  • Alternatively, a fall to 1.1200.
  • Trading solutions: Sell from 1.1300 to 1.1274 and 1.1200.