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EUR/USD Price Analysis: 100-DMA, Doji candlestick prod bears around mid-1.0500s

  • EUR/USD struggles for clear directions after challenging the bears at two-month low.
  • Trend reversal suggesting candlestick, rebound from 100-DMA join sluggish oscillators to lure buyers.
  • Previous support line from the last December challenges Euro buyers.

EUR/USD treads water around 1.0550, despite fading the previous day’s bounce off the lowest level since January 2023, as mixed technical details challenge traders during early Thursday’s sluggish trading session.

The Euro pair dropped to a fresh two-month low on Wednesday before bouncing off 1.0524. However, the quote ended the day’s trading with minor changes from the opening levels and hence portrayed a Doji candlestick that suggests a corrective bounce in the EUR/USD price.

It should be noted that the Doji’s existence at a whisker beyond 100-DMA also keeps the EUR/USD buyers hopeful, especially amid the sluggish MACD and RSI signals.

In a case where the Euro pair breaks the immediate 100-DMA support of around 1.0525, bears may have a bumpy road ahead due to the lows marked in January and early December 2022, respectively near 1.0480 and 1.0440. Also acting as a downside filter is the 200-DMA support of 1.0325.

On the flip side, a daily closing beyond the previous support line from December 07, 2022, near 1.0570 by the press time, becomes necessary for the EUR/USD buyer’s conviction.

Even so, the weekly high of around 1.0700 and the mid-February peak surrounding 1.0800 can act as extra filters towards the north.

Overall, EUR/USD is likely to remain bearish even if a corrective bounce is expected for the short term.

EUR/USD: Daily chart

Trend: Limited recovery expected

Additional important levels

Overview
Today last price1.0545
Today Daily Change-0.0003
Today Daily Change %-0.03%
Today daily open1.0548
 
Trends
Daily SMA201.0644
Daily SMA501.0725
Daily SMA1001.0519
Daily SMA2001.0327
 
Levels
Previous Daily High1.0574
Previous Daily Low1.0524
Previous Weekly High1.0692
Previous Weekly Low1.0533
Previous Monthly High1.1033
Previous Monthly Low1.0533
Daily Fibonacci 38.2%1.0543
Daily Fibonacci 61.8%1.0555
Daily Pivot Point S11.0523
Daily Pivot Point S21.0499
Daily Pivot Point S31.0474
Daily Pivot Point R11.0573
Daily Pivot Point R21.0598
Daily Pivot Point R31.0622

Author

Anil Panchal

Anil Panchal

FXStreet

Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.

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