#EURUSD @ 0.98275 holds lower ground at the two-decade low, prints three-day downtrend., @nehcap view: Further weakness expected (Pivot Orderbook analysis)

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• EUR/USD holds lower ground at the two-decade low, prints three-day downtrend.
• Short-term support line, 61.8% FE joins oversold RSI (14) to trigger corrective bounce.
• Recovery remains elusive below parity level, sellers could aim for the 2002 low.

The pair currently trades last at 0.98275.

The previous day high was 0.9976 while the previous day low was 0.9813. The daily 38.2% Fib levels comes at 0.9876, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.9914, expected to provide resistance.

EUR/USD licks its wounds near the lowest levels since October 2002, picking up bids to 0.9830 heading into Thursday‘s European session. In doing so, the major currency pair consolidates the biggest daily losses in a week, mainly inspired by the US Federal Reserve (Fed), as market players await a slew of other central bank announcements.

That said, 61.8% Fibonacci Expansion (FE) of the pair’s June-September moves joins a one-month-old descending trend line and the oversold RSI to challenge EUR/USD bears around 0.9830.

However, a convergence of the previous support line from September 06 and the 50-SMA, around the 1.0000 parity level, could keep challenging the EUR/USD pair’s recovery moves.

Also acting as the upside hurdle is the 200-SMA and a six-week-long falling trend line, respectively near 1.0045 and 1.0140.

It’s worth noting that the EUR/USD pair’s run-up beyond 1.0140 will need validation from the monthly high near 1.0200 to convince buyers.

Alternatively, a downside break of the 0.9830 support won’t hesitate to direct EUR/USD bears towards the year 2002 low near 0.9610.

Trend: Further weakness expected

Technical Levels: Supports and Resistances

EURUSD currently trading at 0.9829 at the time of writing. Pair opened at 0.9837 and is trading with a change of -0.08 % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 0.9985, 50 SMA 1.0091, 100 SMA @ 1.0299 and 200 SMA @ 1.0711.

The previous day high was 0.9976 while the previous day low was 0.9813. The daily 38.2% Fib levels comes at 0.9876, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.9914, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.9775, 0.9713, 0.9612
• Pivot resistance is noted at 0.9938, 1.0039, 1.0101

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