EUR/USD Forecast: Losing bullish strength but holding near monthly highs

Valeria Bednarik FXStreet

EUR/USD Current Price: 1.1901

US Thanksgiving holiday to keep majors lifeless for the rest of the day.
The German GFK Consumer Confidence Survey contracted to -6.7 in December.
EUR/USD easing within range, bears nowhere to be found.

The EUR/USD pair peaked at 1.1940 this Thursday, its highest since September 1, to later lose the 1.1900 level. As it happened this week, the dollar fell through the Asian session while demand for the US currency picked up modestly during London trading hours. Adding pressure on the shared currency, the German GFK Consumer Confidence Survey contracted to -6.7 in December from -3.2 in the previous month, also missing the market’s expectations.

The US celebrates Thanksgiving today, with all the local markets closed. Little is expected around the FX board for the rest of the day.

EUR/USD short-term technical outlook

The EUR/USD pair is consolidating around 1.1900, with a limited bearish potential. The 4-hour chart shows that a mildly bullish 20 SMA provides intraday support, while the longer moving averages maintain their bullish slopes below the shorter one. Technical indicators in the mentioned time-frame have retreated from daily highs but remain within positive levels and lacking bearish strength. Bulls would have better chances on renewed demand above the 1.1920 resistance level.

Support levels: 1.1880 1.1840 1.1790

Resistance levels: 1.1920 1.1960 1.2010

View Live Chart for the EUR/USD

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Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

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