DAILY TECHNICAL ANALYSIS FOR FEBRUARY 11, 2022
Current level – 1.1395
During yesterday’s trading session, the bears took complete control over the market, heading the pair towards a test of the support at 1.1395. In case the bears manage to hold their positions and successfully violate this zone, then we may expect a decline of the European currency towards the support at 1.1320. However, only a confirmed breach of the 1.1395 support area would strengthen the negative expectations for a continuation of the downward movement. In case this level resists the pressure of the sellers, then the trading action would most probably remain in the range of 1.1400 – 1.1480.
Current level – 116.00
The pair tested the resistance at 116.17, but the bulls couldn’t gain enough momentum to breach this level. The expectations are for another test of this level, and if it is successfully breached, then we may witness an impulsive upward movement towards the next resistance at 116.50. A short consolidation in the range of 115.60 – 116.17 is also a possible scenario for today’s trading session.
Current level – 1.3540
The resistance level at 1.3600 was not violated by the bulls, and during yesterday’s trading session, the bears took complete control over the market, heading the pair towards a test of the support at 1.3500. If this level is successfully breached, then the next target would be the support at 1.3437. On the other hand, if this support resists the pressure of the bears, then the trading action would most probably remain in the range of 1.3500 – 1.3600.
Gold price is affected by the negative pattern
Gold price bounced downwards clearly after completing forming rising wedge pattern that its signs appear on the chart, which confined the recent trades, to start attacking the key support 1825.15, which hints heading to achieve more expected decline in the upcoming sessions, on its way to visit 1797.00 areas initially.
Therefore, the bearish bias will be suggested for today, taking into consideration that the consolidation of 1825.15 level against the current negative pressure will lead the pirce to resume the bullish track again.
The expected trading range for today is between 1800.00 support and 1835.00 resistance.
The expected trend for today: Bearish
Source: Technical analysis