EUR/USD Price Analysis: Bulls need 1.1790 breakout to retake controls

EUR/USD struggles to extend the strongest run-up in six weeks.
Monthly resistance line, 50-DMA challenge upside amid bearish MACD signals.
Multiple stops test sellers targeting 61.8% Fibonacci Expansion level.

Anil Panchal FXStreet

EUR/USD again fades upside momentum below 1.1750, retreats to 1.1738 at the latest, after rising the most in six weeks. That said, the quote seesaws in a choppy range as Asian traders begin Friday’s tasks.

Although oversold RSI triggered a heavy rebound of the EUR/USD prices from the lowest levels since August 20, the bulls need validation from a three-week-old downward sloping trend line and 50-DMA. Also challenging the run-up are the bearish MACD signals and recently steady RSI.

Hence, the quote is up for a pullback towards short-term horizontal support near 1.1700.

However, any further weakness will be questioned by the yearly low of 1.1664, a break of which will direct the EUR/USD bears towards the 61.8% Fibonacci Expansion (FE) of June 15 to August 20 fall, followed by the recovery moves to early September, surrounding 1.1610.

Alternatively, a clear break of the 1.1790 key hurdle, comprising the stated resistance line and 50-DMA, will quickly direct the quote to 1.1850.

In a case where EUR/USD bulls keep reins past 1.1850, the double tops near 1.1910 will be the key challenge for them.

EUR/USD: Daily chart

Trend: Further weakness expected

Additional important levels

Overview
Today last price	1.1739
Today Daily Change	0.0051
Today Daily Change %	0.44%
Today daily open	1.1688

Trends
Daily SMA20	1.1799
Daily SMA50	1.179
Daily SMA100	1.1916
Daily SMA200	1.1985

Levels
Previous Daily High	1.1756
Previous Daily Low	1.1684
Previous Weekly High	1.1846
Previous Weekly Low	1.1724
Previous Monthly High	1.19
Previous Monthly Low	1.1664
Daily Fibonacci 38.2%	1.1711
Daily Fibonacci 61.8%	1.1728
Daily Pivot Point S1	1.1662
Daily Pivot Point S2	1.1637
Daily Pivot Point S3	1.1591
Daily Pivot Point R1	1.1734
Daily Pivot Point R2	1.1781
Daily Pivot Point R3	1.1806

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.

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