EUR/USD Price Analysis: Dips below 1.0900, though retains bullish bias on daily chart

EUR/USD is bullish despite falling to a three-day low.
The daily chart portrays the formation of a bullish hammer, which could pave the way to challenge 1.1000.
A bearish resumption would happen if EUR/USD stays below 1.0900.

Christian Borjon Valencia FXStreet

The Euro (EUR) dropped to a three-day low against the US Dollar (USD), though it remains bullish according to the daily chart, as Wednesday’s price action formed a ‘hammer’ preceded by a downtrend. Although it warrants further upside is expected, the break of crucial resistance levels must be achieved to extend the rally. The EUR/USD trades at 1.0884, down 0.03%.

To cement the uptrend, EUR/USD buyers need to reclaim the 1.0900 figure. Once done, the next resistance level would be the November 21 swing high at 1.0965, followed by the 1.1000 figure. A breach of the latter would expose the August 10 high at 1.1065.

Conversely, if EUR/USD stays below 1.0900 and extends its losses past the November 22 low of 1.0852, that could exacerbate the pair’s drop to challenge the 200-day moving average (DMA) at 1.0808. If buyers surrender the latter, the major would fall toward the 1.0700 mark.

EUR/USD Price Analysis – Daily Chart

EUR/USD Technical Levels

EUR/USD

Overview
Today last price	1.0886
Today Daily Change	-0.0026
Today Daily Change %	-0.24
Today daily open	1.0912

Trends
Daily SMA20	1.0716
Daily SMA50	1.064
Daily SMA100	1.0792
Daily SMA200	1.0807

Levels
Previous Daily High	1.0965
Previous Daily Low	1.09
Previous Weekly High	1.0909
Previous Weekly Low	1.0665
Previous Monthly High	1.0695
Previous Monthly Low	1.0448
Daily Fibonacci 38.2%	1.0925
Daily Fibonacci 61.8%	1.094
Daily Pivot Point S1	1.0886
Daily Pivot Point S2	1.0861
Daily Pivot Point S3	1.0821
Daily Pivot Point R1	1.0951
Daily Pivot Point R2	1.0991
Daily Pivot Point R3	1.1016

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.

GBP/USD clings to gains near 1.3400

GBP/USD retreats after reaching a three-week high above 1.3430, challenging the 1.3400 yardstick on Thursday. Although easing political uncertainty in the UK helps the quid limit its downside, escalating tensions in the Middle East support the Greenback, keeping Cable under scrutiny.

EUR/USD: Daily gains appear capped by 1.1450

EUR/USD keeps the recovery in place and looks to consolidate its gains north of 1.1400 the figure at the end of the NA session on Thursday. The pair’s move higher appears in tandem with a modest pullback in the US Dollar despite geopolitical concerns in the Middle East remain unabated.

Gold recovers above $4,100 as traders assess US-Iran conflict

Gold price rebounds to around $4,120 during the early Asian session on Friday. The precious metal edges higher as traders weigh a resumption of war in the Middle East.

BitGo unveils quantum risk management tools for Bitcoin wallets

BitGo has introduced a suite of quantum risk management tools for institutional Bitcoin wallets, aiming to help clients identify, assess and reduce potential exposure to future quantum computing threats before they become a practical concern.

Japan may be changing its Yen strategy, but markets don’t look scared

Japan may be changing its intervention playbook, but that might not be enough to rescue the battered Yen. With USD/JPY hovering at four-decade highs, the currency’s weakness is being driven less by speculative pressure and more by a powerful structural force: the wide US-Japan rate gap.

Bye, forward guidance: How to trade when central banks choose silence

Central banks have spent years telling markets what might come next. Now, traders face the possibility that they say a lot less. From the Federal Reserve to the European Central Bank and the Bank of England, policymakers are pushing back against forward guidance.