EUR/USD today: the pair continues to rise, but is limited to overbought

After Friday’s trades, the pair EUR/USD strengthened significantly, supported by data on the formation of the government in Germany and the expectation of curtailing incentives in the euro area. As a result, this pair closed the week with significant growth and renewal of the three-year high.

Today does not contain significant news, it is worth noting that in the US today is a day off. Therefore, the volatility of the market will decline by the end of the day.

Given the considerable overbought of this pair and the overall oversold of the American, one should expect correction, but, because of the day off, this movement is likely to take place tomorrow. Today, due to the optimism of the euro and callsign for the euro area, one should expect the preservation of existing dynamics, which will slow down towards the end of the day. The main resistance levels are: 1.2280-90 and 1.2300-30, support: 1.2220-30 and 1.2200-1.2180.

Fig. EUR/USD. The current price is 1.2260.

Hanzenko Anton