EUR/USD Price Analysis: Adds over 20 pips in Asia as Yen crosses rise


  • Risk-on powers a 20-pip gain in the EUR/USD pair. 
  • The currency pair remains trapped in a descending triangle pattern.

EUR/USD is flashing green in Asia amid classic risk-on action in the financial markets. 

At press time, the pair is trading at session highs near 1.1262, having put in a low of 1.1241 early Monday. 

The US dollar is losing ground against other majors like the AUD, NZD, and CAD, but is pushing higher against traditional safe-haven currencies like yen and Swiss franc. As such, AUD/JPY and other JPY crosses are rising, indicating risk-on sentiment. The S&P 500 futures, too, are signaling risk-on with a 0.28% gain. 

However, while the EUR/USD pair has risen by 20 pips, the bias remains neutral, as the pair is still trapped inside a descending triangle, as seen on the 4-hour chart

A break above the upper end of the triangle, currently at 1.1280 would confirm a bullish breakout and signal a continuation of the rally from lows near 1.0775 seen in May. The triangle breakout would open the doors for a re-test of June highs above 1.14. 

Alternatively, a downside break of the triangle would shift risk in favor of a slide to the 200-day simple moving average (SMA) at 1.1039.

Daily chart

Trend: Neutral

Technical levels

EUR/USD

Overview
Today last price 1.1262
Today Daily Change 0.0020
Today Daily Change % 0.09
Today daily open 1.1249
 
Trends
Daily SMA20 1.1262
Daily SMA50 1.1078
Daily SMA100 1.1017
Daily SMA200 1.1042
 
Levels
Previous Daily High 1.1253
Previous Daily Low 1.1219
Previous Weekly High 1.1303
Previous Weekly Low 1.1185
Previous Monthly High 1.1422
Previous Monthly Low 1.1097
Daily Fibonacci 38.2% 1.124
Daily Fibonacci 61.8% 1.1232
Daily Pivot Point S1 1.1228
Daily Pivot Point S2 1.1207
Daily Pivot Point S3 1.1194
Daily Pivot Point R1 1.1261
Daily Pivot Point R2 1.1274
Daily Pivot Point R3 1.1295

 

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