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EUR/USD Finds Strong Support at 1.11

The EUR/USD has been fading since the end of last week. The 1H chart shows the pair retreating from 1.1460.

EUR/USD 1H Chart 9/23
(click to enlarge)

The 1H chart shows the market turning higher after failing a couple of attempts at breaking 1.11. As we gear up for the US session, it looks like a price bottom has been complete. 

However, let's not get too ahead of ourselves. The market was falling heavily into the 7/23 session. On the other hand, it has been in a messy, consolidation pattern in the daily chart. So the pair is at the crossroads. If you take the most recent price action as a guide, you would be bearish (based on the 1H chart.) 

Let's explore this bias. Look for the 1H RSI to stall as it approaches 60, and limit the bullish outlook to 1.12. If the market is indeed bearish, we should see a rejection and another test of 1.11, with downside risk towards 1.10, which would coincide with a key consolidation support seen in the daily chart. 

EUR/USD Daily Chart 9/23

(click to enlarge)

The daily chart shows what a crossroad the EUR/USD is in. The bearish outlook can be opened up if price falls below 1.10, but for now that is the limit to my bearish target. 

From 1.10, I would consider some short-term upside risk, but limit that to 1.1460 as the most aggressive target. A more conservative bullish target from 1.10 is probably around 1.1250-1.13, the middle of September's price range so far.