EUR/USD Price Analysis: Euro bulls need acceptance from 1.0900 hurdle and Jackson Hole speeches

EUR/USD picks up bids to extend recovery from six-week low.
Bullish Doji candlestick, downbeat RSI (14) line favor Euro’s bottom-picking.
Convergence of 100-EMA, one-month-old descending resistance line prods buyers ahead of top-tier data/events.
EU/US PMIs, central bankers’ speeches at Jackson Hole also eyed for clear directions.

Anil Panchal FXStreet

EUR/USD clings to mild gains around 1.0880 as it defends the week-start rebound from the lowest level in six weeks amid mixed concerns in the market. That said, the Euro pair’s latest recovery could be linked to the consolidation of the previous five-week downtrend, as well as positioning for the August month Purchasing Managers Indexes (PMIs) and the Kansas Fed’s annual event for central bankers, namely the Jackson Hole Symposium.

Also read: EUR/USD Weekly Forecast: US Dollar to keep strengthening

Technically, Friday’s Doji candlestick joins the nearly oversold RSI (14) line to trigger the corrective bounce in the EUR/USD price.

However, a convergence of the 100-day Exponential Moving Average (EMA) joins a downward-sloping resistance line from July 19 to highlight the 1.0900 level as a tough nut to crack for the Euro pair buyers.

Following that, a one-month-old descending trend line surrounding 1.0980 will act as the final defense of the EUR/USD bears.

On the contrary, a horizontal area comprising multiple levels marked since April 10, around 1.0840 at the latest, restricts the immediate downside of the EUR/USD pair.

A daily closing beneath 1.0840, however, isn’t an open invitation to the Euro bears as the 200-day EMA and an ascending trend line from mid-March, close to 1.0800 at the latest, could challenge the quote’s further downside.

Overall, EUR/USD remains on the bear’s radar despite the latest rebound. The pair’s downside room, however, appears limited.

EUR/USD: Daily chart

Trend: Limited recovery expected

Additional important levels

Overview
Today last price	1.0882
Today Daily Change	0.0010
Today Daily Change %	0.09%
Today daily open	1.0872

Trends
Daily SMA20	1.0969
Daily SMA50	1.0978
Daily SMA100	1.0931
Daily SMA200	1.0791

Levels
Previous Daily High	1.0894
Previous Daily Low	1.0845
Previous Weekly High	1.096
Previous Weekly Low	1.0845
Previous Monthly High	1.1276
Previous Monthly Low	1.0834
Daily Fibonacci 38.2%	1.0864
Daily Fibonacci 61.8%	1.0875
Daily Pivot Point S1	1.0846
Daily Pivot Point S2	1.0821
Daily Pivot Point S3	1.0798
Daily Pivot Point R1	1.0895
Daily Pivot Point R2	1.0919
Daily Pivot Point R3	1.0944

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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