EUR/USD Price Analysis: Breaks above descending trend channel, the next barrier is seen above 1.0880

EUR/USD attracts some buyers to 1.0825 amid weaker USD on Wednesday.
The pair resumes its upside as it holds above the key EMA; RSI indicator stands in bullish territory.
The next upside barrier is seen at 1.0885; the first downside target is located at 1.0795.

Lallalit Srijandorn FXStreet

The EUR/USD pair extends the rally near 1.0825 on Wednesday during the early European trading hours. The uptick of the major pair is bolstered by the upbeat ZEW Economic Sentiment Survey and the softer US Dollar (USD). Investors will closely monitor the Eurozone GDP growth number, which is forecast to grow by 0.3% QoQ in the first quarter of 2024.

According to the daily chart, EUR/USD has remained confined in a descending trend channel since mid-December 2023. The bullish outlook of the major pair resumes as it crosses above the key 100-day Exponential Moving Average (EMA). Additionally, the upward momentum is bolstered by the 14-day Relative Strength Index (RSI) stands in bullish territory around 60.80, indicating that further upside looks favorable.

The major pair breaks above the upper boundary of the descending trend channel and the psychological level of 1.0800. The next resistance level is seen at a high of April 9 at 1.0885. The additional upside filter to watch is a high of March 21 at 1.0943, en route to a high of March 8 at 1.0981, and finally the 1.1000 psychological level.

On the other hand, the first downside target for EUR/USD will emerge near the 100-day EMA at 1.0795. Any follow-through selling below this level will see a drop to a low of May 9 at 1.0724. Further south, the next contention level is located around a low of May 2 at 1.0650, followed by a low of April 16 at 1.0600.

EUR/USD daily chart

EUR/USD

Overview
Today last price	1.0824
Today Daily Change	0.0004
Today Daily Change %	0.04
Today daily open	1.082

Trends
Daily SMA20	1.0724
Daily SMA50	1.0787
Daily SMA100	1.0826
Daily SMA200	1.0791

Levels
Previous Daily High	1.0826
Previous Daily Low	1.0767
Previous Weekly High	1.0791
Previous Weekly Low	1.0724
Previous Monthly High	1.0885
Previous Monthly Low	1.0601
Daily Fibonacci 38.2%	1.0803
Daily Fibonacci 61.8%	1.079
Daily Pivot Point S1	1.0783
Daily Pivot Point S2	1.0746
Daily Pivot Point S3	1.0724
Daily Pivot Point R1	1.0841
Daily Pivot Point R2	1.0863
Daily Pivot Point R3	1.0899

Author

Lallalit Srijandorn

FXStreet

Lallalit Srijandorn is a Parisian at heart. She has lived in France since 2019 and now becomes a digital entrepreneur based in Paris and Bangkok.

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