In the early American session, the EUR / USD pair is trading below the SMA of 21, below the EMA of 200, and below the strong resistance of 8/8 of murray according to a 1-hour chart. The pair is showing some downward pressure, which is likely that in the next few hours there will be a corrective movement of the Euro.

The Euro was unable to consolidate above 1.22 as the 8/8 Murray resistance has given some downward pressure to the pair. So, we saw a pullback below this zone, and it could continue to exert pressure and thus be able to fall to the 1.2146 area. If this level is broken, the fall could be faster to the zone of 1.2085.

Above this 8/8 murray zone, EUR / USD should resume the bullish bias and target the May high of 1.2266 (May 25) and hit the 1.23 level.

The USDX Dollar index, is now consolidating above the psychological level of 90.00, which is dragging the EUR / USD pair down. If the USDX remains in this area in the short term, the euro should fall to the 1.2085 zone.

The technical reading of the eagle indicator is showing an overbought signal that suggests a downward correction in next few hours.

Our recommendation is to sell below 1.2185 / 90, because the SMA of 21 and EMA of 200 are located there. It is a zone of strong resistance with targets at 1.2150 and 1.2100. In case of a consolidation of the EUR / USD pair above 1.22, we should avoid selling.

Support and Resistance Levels for June 08 – 09, 2021

Resistance (3) 1.2244

Resistance (2) 1.2234

Resistance (1) 1.2211

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Support (1) 1.2154

Support (2) 1.2120

Support (3) 1.2097

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Trading tip for EUR/USD for June 08 - 09, 2021

Sell below 1.2185/90 (EMA 200 and SMA 21), with take profit at 1.2146 (7/8) and 1.2085, stop loss above 1.2225

Buy above 1.2205, (trend line), with take profit at 1.2266 (high of May), stop loss below 1.2175.