EUR/USD Price Analysis: Climbs back above 1.0700, prints minimal gains
- EUR/USD edges up to 1.0708, forming a bullish 'tweezers bottom' pattern, yet still below the crucial 200-day moving average at 1.0802.
- The currency pair maintains a neutral stance with a slight bullish tilt, trapped within a 'bearish flag' pattern on the daily chart.
- Resistance and support levels are set at 1.0758 and the 38.2% Fibonacci level at 1.0654, respectively, as the pair navigates through pivotal technical junctures.
EUR/USD turns positive late on Wednesday's North American session, but it remains shy of reclaiming the 200-day moving average (DMA) at 1.0802, seen as the next resistance level for buyers. The pair is trading at 1.0708, after forming a ‘tweezers bottom’ chart pattern, with bullish implications.
The daily chart portrays the pair is neutrally biased, though slightly tilted to the upside, but within the boundaries of a ‘bearish flag.’ On November 6, despite breaching the top of the flag, the EUR/USD finished the session offered, forming an inverted hammer, suggesting the EUR/USD could resume downwards. Even though the pair printed a three-day low of 1.0659, it failed to breach support at the 38.2% Fibonacci level of the Fibonacci retracement drawn from the November 1 low to the November 6 swing high, keeping buyers hopeful of higher prices.
Key resistance levels lie at 1.0758, November’s 6 high, followed by the 200-DMA at 1.0802. On the flip side, the first support is seen at the 38.2% Fibonacci level at 10.654, followed by the confluence of the 50-DMA and the 50% Fibo retracement at 1.0624/35.
EUR/USD Price Analysis – Daily Chart
EUR/USD Technical Levels
Author
Christian Borjon Valencia
FXStreet
Markets analyst, news editor, and trading instructor with over 14 years of experience across FX, commodities, US equity indices, and global macro markets.
