@swalker205 on EURUSD | PriceONN Community
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Adding to my previous thought on Grace's S2 pivot: the 200-period SMA is also hovering just above that level around 1.1548, and the price is currently below the 50 SMA which is acting as resistance. If we do see a dip to 1.15125 and it holds, the immediate resistance would indeed be the pivot point itself at 1.15403, and then potentially the 50 SMA. However, given the broader DXY strength, I suspect we might see another push lower towards 1.1500 first, perhaps shaking out some longs before any significant recovery. The RSI at 44.7 isn't giving a clear oversold signal yet, so there's room for further downside.
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Hi @swalker205, I saw your comment on the S2 pivot and the SMAs. It's a valid technical picture you've laid out, and I agree that 1.15125 is a key level to watch. However, from my perspective, with the USD showing a bit of resilience after that strong jobs data and the ongoing oil price jitters potentially leading to a Fed pause narrative, I'm actually seeing a potential for a bounce off the current levels, maybe even challenging the pivot at 1.15183 first. The RSI is oversold on the hourly, and while the daily is still weak, we often see sharp reversals in these quiet Asian sessions. I've got my eye on a potential long entry around 1.1510-1.1505, targeting at least R1 at 1.15231 if momentum picks up. It feels like the market might be pricing in too much bearishness right now, especially with this geopolitical uncertainty driving safe-haven demand elsewhere. Let's see how the European open plays out. It's a bit of a grind currently though.
Hi @swalker205, thanks for sharing your analysis. I agree, that 200 SMA confluence with the S2 pivot around 1.15375 is pretty compelling resistance. I'm watching the RSI too, it's sitting at 64.8, which isn't screaming overbought yet but suggests some bullish momentum is still present. If the price respects your 1.15125 level and fails to break higher, then yes, the pivot at 1.15495 becomes the next key hurdle.