EUR/USD Price Analysis: Retreats from five-week-old resistance towards 0.9820 EMA support

EUR/USD struggles to extend two-day uptrend, renews intraday low of late.
Bullish MACD signal, successful break of 21-day EMA suggests further advances.
50-day EMA, descending trend line from August adds to the upside filters.
Three-week-old horizontal support appears important for the bears to watch.

Anil Panchal FXStreet

EUR/USD snaps a two-day uptrend as it takes a U-turn from the short-term key resistance line to refresh the intraday low near 0.9850 during Wednesday’s Asian session.

Even so, the major currency pair’s successful upside break of the 21-day EMA and the bullish MACD signals keep the buyers hopeful of overcoming the 0.9875 resistance level comprising a downward-sloping trend line from September 13.

However, the 50-day EMA level of 0.9925 and a two-week-old descending trend line, at the parity level by the press time, will be tough challenges for the EUR/USD bulls to cross before aiming the previous monthly top near 1.0200.

Also acting as an upside filter is the 61.8% Fibonacci retracement level of the pair’s August-September moves, near 1.0050.

Meanwhile, pullback moves could initially aim for the 21-day EMA level surrounding 0.9820 before directing the EUR/USD bears toward the 23.6% Fibonacci retracement level of 0.9730.

Following that, a horizontal area including multiple levels marked since September 23, near 0.9675-80, will be crucial to watch for the bears.

EUR/USD: Daily chart

Trend: Limited downside expected

Additional important levels

Overview
Today last price	0.9856
Today Daily Change	0.0001
Today Daily Change %	0.01%
Today daily open	0.9855

Trends
Daily SMA20	0.9772
Daily SMA50	0.9934
Daily SMA100	1.0144
Daily SMA200	1.0563

Levels
Previous Daily High	0.9876
Previous Daily Low	0.9813
Previous Weekly High	0.9809
Previous Weekly Low	0.9632
Previous Monthly High	1.0198
Previous Monthly Low	0.9536
Daily Fibonacci 38.2%	0.9852
Daily Fibonacci 61.8%	0.9837
Daily Pivot Point S1	0.982
Daily Pivot Point S2	0.9785
Daily Pivot Point S3	0.9757
Daily Pivot Point R1	0.9883
Daily Pivot Point R2	0.9911
Daily Pivot Point R3	0.9946

Author

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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