EUR/USD Price Analysis: Bulls eye 61.8% Fibonacci retracement above 1.1800
|- EUR/USD stays mildly positive around intraday high of 1.1834.
- Tuesday’s break of five-week-old trend line directs the bulls to the key Fibonacci retracement.
- Overbought RSI conditions may trigger pullback to 1.1810 support confluence.
EUR/USD takes the bids near 1.1830, up 0.11% intraday, during the early Wednesday. The pair gained upside momentum after clearing a falling trend line from September 15 the previous day. However, overbought RSI conditions challenge the bulls.
As a result, traders require an upside break of Tuesday’s high of 1.1840 to attack 61.8% Fibonacci retracement of the September month’s downside, near 1.1860.
In a case where EUR/USD bulls remain positive beyond 1.1860, the 1.1900 threshold and September 10 peak surrounding 1.1920 can be their favorites.
On the flip side, a joint of the short-term rising trend line and 50% Fibonacci retracement near 1.1810 can offer immediate support to the pair during its pullback.
However, any downside below the previous resistance line, at 1.1800, can recall the short-term sellers targeting the monthly support line, currently around 1.1710.
EUR/USD four-hour chart
Trend: Pullback expected
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.