EUR/USD: Key resistance of 1.0865 needs to be overcome on a closing basis [Video]

Richard Perry Independent Analyst

EUR/USD

An impressive intraday rebound on EUR/USD will have the euro bulls now thinking about a recovery. The move was driven by a broad move out of the US dollar yesterday afternoon, but now means that there have been three positive candles in the past four sessions on EUR/USD. The move is beginning to wake up the momentum indicators too. With the RSI already rising above 30, bull crosses are now threatening on MACD and Stochastics. The key resistance of $1.0865/$1.0875 needs to be overcome on a closing basis to open the way for a more sustainable recovery. Looking on the hourly chart, this move would complete a near term base pattern to imply a further +90 pips of recovery. Already there is a mild uptrend forming over the past few sessions, and hourly momentum more positively configured. Support just above $1.0800 now needs to hold to maintain the sense of improvement, whilst initial support is around $1.0830 today.

Author

Richard Perry

Independent Analyst

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