In the aftermath of the surge, the rate began a decline, which on Monday found support in the 0.8500 level.
In regards to the near term future, the rate should rebound against the 0.8500 or 0.8000 levels, and test the resistance of the 1.0000.
Daily Candle Chart
On the daily candle chart, it can be observed that the 0.8000 mark is being supported by the 100 and 200-day simple moving averages.
Meanwhile, the resistance of the 1.0000 level is being strengthened by the weekly simple pivot point at 0.9800 and the first resistance level of the monthly pivot points at 1.0100.
Market Depth
By looking at the market depth data, clusters of resistance and support can be observed.
Three levels with a concentration of buy orders can be spotted. There is a minor cluster of bid orders at 0.8500. Meanwhile, a large concentration of orders is at 0.8000 and 0.6400.
© Dukascopy Bank SA
© Dukascopy Bank SA
In the meantime, the rate's surge is set to test two sell order clusters. The clusters are located at 1.0000 and 1.0900.
Note that the 1.0000 cluster is spread out from 0.9900 to 1.0100.
Future outlook
In general, the rate is expected to find support and rebound. The rate can find support in the 0.8500 level, which has a small cluster of bid orders located at it.
If the 0.8500 fails to cause a surge, the 0.8000 level would be reached next. Most likely the rebound would then start at the 0.8000 level, as it has a major concentration of buy orders and the support of the 100 and 200-day simple moving averages.
Afterwards, any surge would test the resistance of the 1.0000 level. At that level resistance is provided by both technical levels in the form of pivot points and ask orders being located from 0.9900 to 1.0100.