EUR/USD Price Analysis: The potential support level is located near 1.0800
|- EUR/USD loses traction around 1.0830 on the renewed USD demand on Wednesday.
- The pair maintains the bearish outlook above the key EMA; RSI lies below the 50-midline.
- The first upside barrier is seen near 1.0853; the potential support level is located at 1.0800.
The EUR/USD pair trades in negative territory for two straight days near 1.0830 on Wednesday during the early European trading hours. The encouraging US economic data and the high-for-longer rate narrative from the Federal Reserve (Fed) provide some support to the US Dollar (USD) and drag the EUR/USD lower.
Technically, EUR/USD keeps the bearish vibe unchanged on the four-hour chart. The major pair is below the key 50- and 100-period Exponential Moving Averages (EMA), with the Relative Strength Index (RSI) lying below the 50-midline. This indicates that the further downside looks favorable for the time being.
The key resistance level for EUR/USD will emerge near 1.0853, portraying the confluence of the upper boundary of the Bollinger Band and the 50-period EMA. A break above the mentioned level will pave the way to the 100-period and a high of March 26 at 1.0864. Further north, the next hurdle is seen near a high of March 18 at 1.0906.
On the flip side, the potential support level is located at the 1.0800 round mark, representing the lower limit of the Bollinger Band, a low of March 22, and a psychological round figure. Any follow-through selling below the latter will see a drop to a low of February 16 at 1.0732, followed by a low of February at 1.0700.
EUR/USD four-hour chart
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