EUR/USD may find it hard to recover amid fierce resistance – Confluence Detector

EUR/USD is trying to recover after falling toward the end of the week. Can it succeed? Technical levels are far from being promising. 

The Technical Confluences Indicator is showing that EUR/USD is facing fierce resistance at 1.1072, which is the convergence of the Pivot Point one-day Resistance 2, the Simple Moving Average 5-one-day, the Fibonacci 38.2% one-week, the Fibonacci 161.8% one-day, the Simple Moving Average 100-1h, and the Fibonacci 38.2% one-month.

If the world's most popular currency pair breaks higher, the next level to watch is 1.1118, which is the confluence of the SMA 100-4h and the Fibonacci 61.8% one-week.

Support awaits at 1.0997, which is the meeting point of the PP one-day S2 and the Fibonacci 61.8% one-month. 

Further down, 1.0969 is where the PP one-day S3 and the PP one-week S1 converge.

Here is how it looks on the tool:

Confluence Detector

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