EUR/USD consolidates gains, are dips supported?
|Key highlights
- EUR/USD rallied above the 1.0820 resistance zone.
- A key bullish trend line is forming with support at 1.0850 on the 4-hour chart.
EUR/USD technical analysis
Looking at the 4-hour chart, the pair settled above the 1.0850 level, the 100 simple moving average (red, 4-hour), and the 200 simple moving average (green, 4-hour). The pair even spiked above the 1.0900 level and tested the 1.0910-1.0920 resistance zone.
It is now consolidating gains near the 1.0880 zone. If there is a fresh increase, the pair could face resistance near the 1.0910 level. The next resistance sits at 1.0920.
The main hurdle sits at 1.0950. A clear move above the 1.0950 resistance might send it toward the 1.1000 level. Any more gains might open the doors for a test of the 1.1050 zone in the coming days.
Immediate support is near the 1.0880 level. The next major support is near the 1.0850 level. There is also a key bullish trend line forming with support at 1.0850 on the same chart. A downside break and close below the 1.0850 support zone could open the doors for more losses.
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