EURUSD technical analysis 03.09.1010

EURUSD

The pair remains within the “rising flag” pattern for now. It is likely to test 1.1790. One negative factor is the weak new jobs data from ADP, another is the low inflation, which may force the ECB to come up with something new to stimulate the growth of inflation and support the region’s economy.

Technical side:

The price is on the lower Bollinger band, below SMA 5 and SMA 14. RSI is below the 50% level and is declining. Stoch are in the oversold zone and are turning down again.

Trading recommendations:

The pair will test 1.1790. If it goes below this level, it will continue to drop to 1.1700–05. If the price remains above 1.1790, it will reverse locally and go up to 1.1900, and then to 1.1990 and 1.2000.