EUR/USD Price Analysis: Loses momentum below 1.0850, US PMI data eyed
|- EUR/USD extends its downside around 1.0834 ahead of the Eurozone PMI data.
- The pair maintains the bearish outlook below the key 100-hour EMA; RSI stands in the bearish zone below the 50.0 midline.
- 1.0867 acts as an immediate resistance level; 1.0806 will be the initial support level.
The EUR/USD pair trades in negative territory for the fifth consecutive day during the early European session on Tuesday. Investors await the Spanish, German, French, and Eurozone HCOB PMI data due later on Tuesday. The major pair currently trades near 1.0834, unchanged for the day.
From a technical perspective, EUR/USD maintains a bearish outlook as the major pair holds below the key 100-hour Exponential Moving Averages (EMA) on the four-hour chart. The downward momentum is supported by the Relative Strength Index (RSI) which stands below the 50.0 midline, indicating that the path of least resistance is to the downside.
The 100-hour EMA at 1.0867 acts as an immediate resistance level for EUR/USD. The next upside barrier to watch is the 1.0895-1.0900 zone, portraying the confluence of the 50-hour EMA and a psychological figure. Further north, the next hurdle is seen near the upper boundary of the Bollinger Bang at 1.0942.
On the other hand, the lower limit of the Bollinger Band at 1.0806 will be the initial support level. The additional downside filter to watch is a high of November 6 at 1.0755, followed by a low of November 9 at 1.0660.
EUR/USD four-hour chart
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