EUR/USD Price Analysis: Further upside needs validation from 1.0920
- EUR/USD buyers flirt with nine-month high during three-day uptrend.
- Sustained trading beyond previous resistance line, bullish MACD signals favor bulls.
- Nearly overbought RSI conditions probe further upside amid multiple hurdles to the north.
EUR/USD picks up bids to challenge the nine-month high surrounding 1.0900 as bulls keep the reins for consecutive three days to early Monday. In doing so, the major currency pair cheers bullish MACD signals while extending the run-up beyond the previous resistance line from mid-December 2022.
It’s worth noting, however, that the RSI (14) is approaching the overbought territory and hence challenge the quote’s further advances.
On the same line, a six-day-old upward-sloping trend line resistance, around the 1.0900 round figure also probes the EUR/USD bulls. It’s worth noting that the quote’s advances past 1.0900 need validation from the 61.8% Fibonacci Expansion (FE) of the pair’s January 08-18 moves, close to 1.0920.
In a case where the quote’s remains firmer past 1.0920, the April 2022 peak near 1.0935-40 could act as the last defense of EUR/USD bears.
Alternatively, pullback moves remain elusive unless the quote stays beyond the aforementioned resistance-turned-support line, close to 1.0770 by the press time.
Following that, three-week-old horizontal support around 1.0710 may try to probe the bears before giving them control.
Overall, EUR/USD buyers are likely to remain in the driver’s seat even if the upside room appears limited.
EUR/USD: Four-hour chart
Trend: Limited upside expected
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.
