EURUSD looks for a rebound near lower Bollinger band

EURUSD is struggling to gain buying interest after the deep fall towards the key 1.1100 support mark – the lowest in more than two years.

The negative momentum in the MACD, which is far below the zero and trigger lines, suggests that the bearish sentiment is likely to stay in the short-term. Yet in the very short-term, upside corrections cannot be ruled out as the fast stochastics have already posted a bullish cross in oversold zone, while the price itself has been repeatedly testing the lower Bollinger band over the past week, calling for a rebound as well.

On the way up, the bulls could initially pause around the 1.1180 barrier before hitting the middle Bollinger band at 1.1216. Higher and above the 50-day simple moving average (SMA), the price could surpass its previous peaks around 1.1283 to improve buying appetite towards the 1.1320 level.

In the negative scenario, where the price violates the floor around 1.1100, the next key support could be detected somewhere between 1.1000-1.0950. Such a selloff would also reactivate the long downtrend started from the 1.2554 top early in 2018, turning EURUSD strongly bearish in the bigger picture.

All in all, EURUSD maintains a negative status, with the odds for a price reversal in the very-short-term rising higher.