EUR/USD Price Analysis: Bulls extend gains as pair secures position above 20-day SMA
- EUR/USD rises to 1.0385 on Thursday, confirming a breakout above the 20-day SMA.
- A sustained move above 1.0400 could further strengthen bullish sentiment, while the 20-day SMA now acts as support.
EUR/USD continued its recovery on Thursday, inching up to 1.0385 and reinforcing its breakout above the 20-day Simple Moving Average (SMA). After several failed attempts to sustain gains earlier in the week, the pair now appears to have made a decisive move, shifting the short-term bias in favor of buyers.
Technical readings highlight growing bullish momentum. The Relative Strength Index (RSI) has risen sharply to 56, indicating increasing buying pressure, while the Moving Average Convergence Divergence (MACD) histogram prints rising green bars, suggesting continued strength in the upside push. If this trend persists, bulls may look to extend gains further.
From a structural perspective, 1.0450 emerges as the next key resistance level, and a break above this could open the door toward 1.0500. On the downside, the 20-day SMA, now acting as support, will be closely monitored, with any drop below 1.0350 potentially questioning the sustainability of the recent bullish move.
EUR/USD daily chart
Author
Patricio Martín
FXStreet
Patricio is an economist from Argentina passionate about global finance and understanding the daily movements of the markets.
