The Euro surged to four-month high in Asia on Friday, underpinned by strong rally of British pound, but EURGBP losses tempered gains.
Fresh advance surged through important barriers (200DMA / former highs) but faced strong headwinds from 1.1200 resistance zone (psychological / Fibo 61.8% of 1.1412/1.0878) and stays below for now.
Bullish daily studies and large bullish weekly candle add to positive outlook, but the pair needs weekly close above 200DMA (1.1153) and former highs at 1.1179/75 to confirm bullish signal.
Lift above 1.1200 zone would open another pivotal barrier at 1.1236 (Fibo 38.2% of 1.1815/1.0878 2019 fall), break of which would generate reversal signal and spark further short-squeeze.
The pair may hold in extended consolidation while 1.12 caps but would remain biased higher while holding above 200DMA.
Increased downside risk could be expected on return and close below 200DMA.
US retail sales is key event of today’s US session.

Res: 1.1200; 1.1208; 1.1230; 1.1290
Sup: 1.1179; 1.1162; 1.1153; 1.1101



Interested in EUR/USD technicals? Check out the key levels

    1. R3 1.1208
    2. R2 1.1181
    3. R1 1.1157
  1. PP 1.113
    1. S1 1.1105
    2. S2 1.1078
    3. S3 1.1054


The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.

Analysis feed

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Analysis

Latest Forex Analysis

Editors’ Picks

EUR/USD trims intraday gains returns to mid-1.17

The EUR/USD pair retreated after flirting with the 1.1800 figure, as the market mood somehow turned sour. Focus on the next US fiscal relief package, coronavirus, and economic progress.


GBP/USD approaches 1.3000 once again

GBP/USD is easing towards weekly lows as dollar bulls are giving it another try. Brexit concerns and UK lockdowns in the eye of the storm.


XAU/USD bull-bear tug-of-war extends around $1975

XAU/USD sidelined heading into the European session. Downside limited by dollar weakness, coronavirus concerns. Focus remains on the USD dynamics and the United States/China updates.

Gold News

What you need to know about trading in August

The generally received wisdom is that summer is a quiet month for trading. Traders are on holiday and markets quieten down. That’s the expectation among many. However, the reality is that August can be one of the most volatile trading months of the year.

Read more

WTI: Bulls await API data to attack $41.00

WTI struggles to extend recovery moves from $40.74 beyond $41.00. Virus woes join OPEC output increase to combat drop in Russian oil production. US Factory Orders, API inventories will be the key.

Oil News

Forex Majors