- EUR/USD struggles to defend the corrective pullback from 200-HMA, fortnight-long support line.
- Downbeat RSI joins short-term descending resistance line, 50-HMA to keep sellers hopeful.
- Bulls need validation from monthly high, sellers may aim for a mid-March swing low under 1.1010.
EUR/USD bears take a breather around 1.1020 during the initial Asian session on Tuesday, following a U-turn from short-term key support a few hours back.
The major currency pair’s rebound from a convergence of the 200-HMA and an upward sloping trend line from March 07 failed to gain support from the RSI, which in turn suggests another attempt to conquer the 1.1010 crucial support levels.
Following that, Friday’s bottom surrounding the 1.1000 psychological magnet may act as a validation point for the EUR/USD south-run targeting the March 14 swing low near 1.0900.
Meanwhile, the pair’s further recovery will aim for the 1.1050 resistance level comprising the 50-HMA and descending trend line from Thursday.
That said, the EUR/USD bull’s ability to cross the 1.1050 hurdle isn’t a guarantee to the pair’s rally as the early March’s top near 1.1120 and the monthly peak surrounding 1.1140 will act as additional filters to challenge the upside momentum.
Overall, EUR/USD prices are likely to consolidate the previous week’s recovery moves.
EUR/USD: Hourly chart
Trend: Further weakness expected
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD advances to near 1.0750 as risk appetite regains balance
EUR/USD extends its winning streak for the third successful day, trading around 1.0730 during the Asian session on Friday. The risk-sensitive currencies like the Euro gain ground as risk appetite regains balance ahead of US Nonfarm Payrolls.
GBP/USD trades on a stronger note 1.2530, all eyes on US NFP data
The GBP/USD pair trades on a stronger note around 1.2540 amid the softer US Dollar on Friday. The US Federal Reserve Chair Jerome Powell delivered a modest dovish message after the meeting on Wednesday, which weighs on the Greenback.
Gold lacks firm near-term direction, remains stuck in a range ahead of US NFP
Gold price struggles to gain any meaningful traction amid mixed fundamental cues. The Fed’s less hawkish outlook drags the USD to a multi-week low and lends support. Bets for a delayed Fed rate cut and a positive risk tone cap gains ahead of the US NFP.
Solana price pumps 7% as SOL-based POPCAT hits new ATH
Solana price is the biggest gainer among the crypto top 10, with nearly 10% in gains. The surge is ascribed to the growing popularity of projects launched atop the SOL blockchain, which have overtime posted remarkable success.
US NFP Forecast: Nonfarm Payrolls gains expected to cool in April
The United States Employment report will be released by the Bureau of Labor Statistics at 12:30 GMT. The US Dollar looks to employment data after the Fed signaled its intention to hold rates higher for longer on Wednesday.