EUR/USD Technical Analysis: (READ DESCRIPTION)

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Pivot Point: 1.0650
The pivot at 1.0650 serves as a key level of support. This level will play a crucial role in determining the near-term direction of the EUR/USD pair. The current technical setup suggests that the pair could see a significant upward movement if it holds above this pivot.

Our Preference: Long Positions

Recommended Trade:
Long positions are favored as long as the price stays above the pivot point at 1.0650. The expectation is that the pair will move upward, testing higher resistance levels.

Target Levels for Upside Movement:
First Target: 1.1000
This level represents an intermediate resistance where traders might take profit or evaluate the continuation of the bullish momentum.
Second Target: 1.1200
If the first resistance is breached, EUR/USD could extend its gains toward the 1.1200 level, indicating a stronger bullish continuation.

Alternative Scenario: Downside Risks
If the price fails to hold above 1.0650:

Bearish Outlook: A break below the pivot point could lead to a downside move, targeting the following levels:

First Target: 1.0500
Second Target: 1.0450
These levels represent potential areas of support if the bearish scenario unfolds, marking a significant downward trend.

Technical Insights:

RSI (Relative Strength Index):
The RSI has recently landed around the 30% zone, which is often considered oversold. This suggests that selling pressure may be waning, and a reversal to the upside could be in progress. A rising RSI typically confirms growing buying interest.

Support Zone Strength:
The 1.0650 level has acted as a solid support zone in the past, and the price appears to be bouncing off this level, reinforcing the probability of a bullish reversal.

Moving Averages:
Should the pair break above its short-term moving averages, such as the 20-period or 50-period moving averages, it would further confirm the bullish scenario. A crossover of these averages could serve as a signal for an upward trend continuation.

Momentum Indicators:
Momentum indicators like the MACD (Moving Average Convergence Divergence) could signal a bullish crossover soon, which would add to the bullish sentiment. The price also remains above key moving averages, providing additional upward pressure.