Key highlights
- EUR/USD started a recovery wave from the 1.0600 zone.
- A key bullish trend line is forming with support at 1.0680 on the 4-hour chart.
EUR/USD technical analysis
Looking at the 4-hour chart, the pair traded as low as 1.0598 and recently started a recovery wave. There was a move above the 1.0650 and 1.0680 resistance levels. The pair even tested the 50% Fib retracement level of the downward move from the 1.0885 swing high to the 1.0598 low.
However, the bears seem to be active near the 1.0740 level. EUR/USD is now consolidating near the 100 simple moving average (red, 4-hour).
Immediate resistance is near the 1.0740 level. The first key resistance is near the 1.0775 zone and the 200 simple moving average (green, 4-hour). It is close to the 61.8% Fib retracement level of the downward move from the 1.0885 swing high to the 1.0598 low.
A clear move above the 1.0775 resistance could send the pair further higher. In the stated case, EUR/USD bulls could even aim for a move toward 1.0850.
Immediate support is near the 1.0680 level. There is also a key bullish trend line forming with support at 1.0680 on the same chart. The next major support is at 1.0620. If there is a downside break below the 1.0620 support, the pair might test 1.0600. The main support is now forming at 1.0580. Any more losses might send the pair toward 1.0520.
Titan FX is registered and regulated in New Zealand under FSP388647. Our global headquarters and operational hub is located in Auckland, New Zealand.
Recommended Content
Editors’ Picks
EUR/USD holds above 1.0800 ahead of US inflation data
EUR/USD stays in positive territory above 1.0800 after registering its highest daily close in over a month on Tuesday. The data from the Eurozone showed that the GDP grew at an annual rate of 0.4% in Q1. Focus shifts to April inflation report from the US.
GBP/USD advances above 1.2600, all eyes on US CPI data
GBP/USD preserves its bullish momentum and trades at its highest level in nearly two weeks above 1.2600 in the European session on Wednesday. The US Dollar struggles to find demand and allows the pair to stretch higher ahead of April CPI and Retail Sales data from the US.
Gold climbs above $2,370 as US yields edge lower ahead of inflation data
Gold extends its uptrend and trades above $2,370 in the European session on Wednesday after gaining nearly 1% on Tuesday. The benchmark 10-year US Treasury bond yield stays in the red below 4.5% ahead of US inflation data, helping XAU/USD keep its footing.
Ethereum bears attempt to take lead following increased odds for a spot ETH ETF denial
Ethereum is indicating signs of a bearish move on Tuesday as it is largely trading horizontally. Its co-founder Vitalik Buterin has also proposed a new type of gas fee structure, while the chances of the SEC approving a spot ETH ETF decrease with every passing day.
US CPI data expected to show slow progress towards 2% target
The US Consumer Price Index is set to rise 3.4% YoY in April, following the 3.5% increase in March. Annual core CPI inflation is expected to edge lower to 3.6% in April. The inflation report could influence the timing of the Fed’s policy pivot.