EUR/USD Could Move Higher Within Range
|Key Highlights
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The Euro found support near 1.1100 after a strong decline against the US Dollar.
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EUR/USD traded above a major bearish trend line at 1.1165 on the 4-hours chart..
EURUSD Technical Analysis
Looking at the 4-hours chart, the pair spiked sharply after trading as low as 1.1107. It broke the 1.1165 resistance area and the 50% Fib retracement level of the downward move from the 1.1263 high to 1.1107 low.
Moreover, the pair traded above a major bearish trend line at 1.1165 on the same chart. It even climbed above the 100 simple moving average (red, 4-hours) and the 61.8% Fib retracement level of the downward move from the 1.1263 high to 1.1107 low.
However, there are many hurdles on the upside near the 1.1225 and 1.1250 levels. The main range resistance is near the 1.1265 area, where sellers are likely to defend more gains. If there is a successful break above the 1.1265 barrier, EUR/USD could climb further higher towards the 1.1300 level.
Conversely, if the pair fails to gain strength above 1.1250 or 1.1265, it could start a fresh decline. On the downside, an initial support is near the 1.1180 level, below which the pair is likely to test the 1.1150 support.
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