EUR/USD Price Analysis: Bulls take control as pair climbs to fresh highs
- EUR/USD extends gains, rising to 1.0500 on Friday, hitting its highest level since late January.
- The pair strengthens above the 20-day SMA, reinforcing a shift in sentiment toward the upside.
- Momentum indicators remain firmly bullish, with RSI climbing deep in positive terrain.
EUR/USD continued its upward trajectory on Friday, climbing to 1.0500 and marking its highest level in weeks. The pair's steady ascent above the 20-day Simple Moving Average (SMA) suggests that buyers are regaining control, potentially shifting the short-term outlook to a more constructive stance. This break above resistance levels could set the stage for further upside if momentum remains intact.
Technical indicators signal growing bullish momentum. The Relative Strength Index (RSI) has surged to 61, confirming strong buying interest, while the Moving Average Convergence Divergence (MACD) histogram prints rising green bars, reinforcing the ongoing upward push. The pair's ability to hold above the 20-day SMA suggests that dips may be viewed as buying opportunities rather than signs of renewed weakness.
Looking ahead, the next test for bulls will be the 1.0525-1.0550 zone, which could act as the next resistance area. If buyers maintain control, a move toward 1.0600, around the 100-day SMA, is not out of the question. On the flip side, should the pair slip back below the 20-day SMA, initial support emerges at 1.0450, with a deeper retracement potentially targeting 1.0420.
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.
