EUR/USD Price Analysis: Bulls brace for 11-week-old hurdle around 1.1800
- EUR/USD bulls battle 21-DMA after Friday’s upbeat performance.
- Firmer oscillators, sustained break of short-term horizontal resistance, now support, favor bulls.
- 50-DMA adds to the upside barriers, yearly bottom challenges sellers.
EUR/USD edges higher around 1.1800, after positing the heaviest daily gains in three months, amid early Asian session on Monday.
The major currency pair crossed a horizontal area comprising levels marked since July 21 the previous day, backed by an upbeat RSI and Momentum line.
Hence, the bulls are on their way to another, actually bigger, challenge in the form of a downward sloping trend line from early June, surrounding 1.1830.
It should be noted, however, that 21-DMA restricts the quote’s immediate upside around 1.1800 whereas 50-DMA offers additional resistance near 1.1870.
Meanwhile, the stated resistance-turned-support line around 1.1750 limits the quote’s pullback moves ahead of the key 1.1700 psychological magnets near the yearly bottom.
In a case where the EUR/USD bears keep reins below 1.1700, the late 2020 numbers surrounding 1.1600 should return to the chart.
EUR/USD: Daily chart
Trend: Further upside expected
Author
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.
