- EUR/USD struggles to extend corrective pullback from monthly low.
- Three-week-old support line restricts immediate downside amid steady RSI.
- Previous support line, 50-DMA adds to the upside filters.
- MACD teases bear cross, buyers to remain cautious below 1.0370.
EUR/USD recovery remains sluggish at around 1.0180 as bulls approach the short-term key hurdles during Thursday’s Asian session. Even so, steady RSI and an upward sloping support line from late July challenge the bears.
That said, an impending bear cross on the MACD, as well as the 21-DMA surrounding 1.0210 questions the major currency pair’s immediate upside.
Following that, the support-turned-resistance from mid-July and the 50-DMA, respectively near 1.0260 and 1.0290, will act as extra hurdles for the EUR/USD bulls to cross.
It’s worth noting that the pair buyers remain unconvinced below the upward sloping resistance line from mid-May, around 1.0370 by the press time.
Alternatively, pullback moves need to break the aforementioned support line from July 27, close to 1.0165 at the latest, to recall the EUR/USD bears.
In that case, the south-run could quickly poke the 1.0100 and parity levels before challenging the yearly bottom surrounding 0.9950.
Overall, the EUR/USD pair’s run-up remains elusive even as the bears are likely losing their grip of late.
EUR/USD: Daily chart
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Trend: Limited upside expected
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