FxWirePro: BTC/EUR edges higher from 4-week lows at 5500, break below daily cloud to see further weakness

• BTC/EUR edges higher from 4-week lows at 5500, trades at 5614 at the time of writing.
   
• The pair fails at 200-DMA, extends downside after bearish divergence on Stochs.
   
• Downside finds strong support at daily cloud base at 5457. Break below will see further weakness.
   
• Technical studies support weakness. Stochs and RSI sharply lower. DMI supports downside.
   
• We see scope for test of trendline at 4990. Violation there could see further weakness.
   
• On the flipside, 50-DMA is strong resistance at 5939. Break above could see upside till 200-DMA.

Support levels - 5457 (cloud base), 5215 (July 12 low), 4899 (June 24 low)

Resistance levels - 5902 (5-DMA), 5939 (50-DMA), 6182 (Aug 6 high)

Call update: Our previous call (https://www.econotimes.com/FxWirePro-BTC-EUR-fails-at-200-DMA-drag-till-21-EMA-at-6489-likely-1410298) has hit all targets.

Recommendation: Watch out for break below cloud for further weakness, target 5212/ 5000/ 4900.

FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at 82.0833 (Bullish) at 1020 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.