EUR/USD targets new gains: Is a fresh increase on the horizon?
|Key highlights
- EUR/USD found support near the 1.0825 zone.
- It cleared a connecting bearish trend line with resistance at 1.0860 on the 4-hour chart.
EUR/USD technical analysis
Looking at the 4-hour chart, the pair tested the 1.0825 support zone and remained stable above the 200 simple moving average (green, 4-hour). A low was formed at 1.0825 and the pair is now rising. There was a move above a connecting bearish trend line with resistance at 1.0860.
The pair climbed above the 100 simple moving average (red, 4-hour). It is now testing the 38.2% Fib retracement level of the downward move from the 1.0948 swing high to the 1.0825 low.
On the upside, the pair could face resistance near the 1.0875 level. The next resistance sits at 1.0900 or the 61.8% Fib retracement level of the downward move from the 1.0948 swing high to the 1.0825 low.
The main hurdle sits at 1.0920. A clear move above the 1.0920 resistance might send it toward the 1.0950 level. Any more gains might open the doors for a test of the 1.1000 zone in the coming days.
Immediate support is near the 1.0845 level. The next major support is near the 1.0820 level. A downside break and close below the 1.0820 support zone could open the doors for more losses. In the stated case, EUR/USD might decline toward the 1.0750 level.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.