EUR/USD – Weekly Chart: Bearish Outlook and Short Position Setup

EURUSD

Overview:
The EUR/USD pair is showing a bearish signal on the weekly chart after recent price action. The current opening price of 1.02355 suggests the potential for a downside movement toward 1.01478, based on a calculated target price using the ATR and Supertrend indicators.

The Supertrend indicator indicates a bearish trend, supported by RSI readings that suggest the pair is likely overbought and could undergo a correction. This setup points to a strategic opportunity for a short position, aiming for the target price of 1.01478, which represents a downside potential of approximately 0.85% from the current level.

Technical Indicators:
Supertrend: The Supertrend indicator on the weekly chart is currently in the red, confirming a bearish market structure. The trend is expected to continue downward, signaling a potential for sustained selling pressure.
RSI: The RSI on the weekly chart is in overbought territory, suggesting a weakening of upward momentum and an increased likelihood of a price retracement.