EURUSD approaching resistance, potential drop!

EURUSD is approaching our first resistance at 1.2374 (horizontal overlap resistance, 61.8%, 76.4% Fibonacci retracement, 100% Fibonacci extension). A strong reaction might occur below this level, pushing price down to our major support at 1.2214 (horizontal swing low support, 61.8% Fibonacci extension). A breakout of our intermediate support at 1.2286 (horizontal overlap support) might provide the bearish acceleration to our major support level.

Stochastic (55,5,3) is also approaching its major resistance and a reaction off this level might be a good precursor for a potential drop in price.

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