Last week, the DUK+/EUR rate reached the target of 0.8000 and broke it in a sharp move. Namely, on October 25 the rate jumped to the next resistance at 0.8700. Moreover, the 0.8700 was also broken.
These levels can be best observed on the chart of the previous publication of October 14.
In regards to the future, the rate is bound to test next resistance levels.
Daily Candle Chart
On the daily candle chart, the rate broke the descending channel pattern. That event signalled that the decline, which was happening since the middle of the summer, was over. The signal resulted in a sharp surge.
On Monday, the rate was consolidating by declining. From a technical perspective, the decline started due to the rate reaching the resistance of the R1 of the monthly simple pivot points at 0.9067.
Market Depth
By looking at the market depth data, clusters of resistance and support can be observed.
There are two price levels, where buy orders are amassed at. The rate has significant support at the 0.8000 level. Meanwhile, there is a larger cluster of bid orders at 0.6600.
© Dukascopy Bank SA
© Dukascopy Bank SA
In the meantime, the rate's surge is set to test three sell order clusters. The clusters are located at 0.9400, 1.0900 and 1.000.
The 0.9400 and 1.000 clusters are two times larger than the 1.0900.
Future outlook
The rate is expected to continue its surge and test the 0.9500 resistance.
If the 0.9500 level fails to keep the rate down, the 1.0000 mark would be reached next. At that level, not only the ask orders would provide resistance, but there would also be technical levels impacting the rate. Namely, the weekly R1 and the monthly R2 of the simple pivot points are located close to 1.0000.
On the other hand, the pair has no technical support to push it upwards, as the most close by daily simple moving averages were moving sideways near the 0.8000 level. Due to that reason this week the pair could fluctuate between the 0.8000 and 0.9400 levels.