EURUSD Expected rebound on the bottom of the Channel Down

The EURUSD pair has been trading within a Channel Down pattern since the February 10 High. Time and time again we have pointed out the recurring buy/ sell levels within this pattern due to its strong symmetry both on the price action and the RSI on the 1D time-frame, which provided the following accurate sell signal a month ago:

The price almost hit the bottom (Lowe Lows trend-line) of this 8-month Channel Down on today’s opening and as the 1D RSI breached the 30.000 oversold barrier for the first time since July 15 (though hasn’t yet hit the Support Zone), it is worth buying into this strong momentum. The most consistent target during this time has been the 1D MA50 (blue trend-line). As we have noted numerous times, we are only considering longer-term buys if the 1D MA100 (green trend-line) breaks, targeting first the 1D MA200 (orange trend-line).

Weekly tip: Keep an eye on Powell’s speech, the U.S. GDP and the E.U. CPI.

Tradingview link:

https://www.tradingview.com/chart/EURUSD/pMylKTWk-EURUSD-Expected-rebound-on-the-bottom-of-the-Channel-Down