EUR/USD Price Analysis: Bulls flirt with 1.1800 inside short-term rising channel
|- EUR/USD edges higher around three-week top inside bullish chart pattern.
- Firmer RSI, sustained trading above 200-SMA also favors buyers.
- 14-day-old horizontal support adds to the downside filters.
EUR/USD treads water around 1.1800 despite refreshing multi-day high at the week’s start. In doing so, the major currency pair remains inside an ascending trend channel formation established since August 20.
In addition to the bullish chart formation, firmer RSI conditions, not overbought, as well as the quote’s ability to remain beyond 200-SMA, suggests further upside of the EUR/USD prices.
That said, the stated channel’s resistance line near 1.1825 offers an immediate upside hurdle to the pair.
Should the EUR/USD bulls reject the channel formation by crossing 1.1825, the August 05 swing high near 1.1855 may offer an intermediate halt during the rally targeting the July 30 peak of 1.1908.
Alternatively, pullback moves will be challenged by 200-SMA and the stated channel’s support line, respectively around 1.1780 and 1.1755.
However, any further weakness past 1.1755 won’t hesitate to revisit the 1.1705–1700 support area established since August 11 before challenging the yearly low of 1.1664.
EUR/USD: Four-hour chart
Trend: Further upside 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.