EUR/USD Price Analysis: Off 7-month highs after bullish daily close

EUR/USD printed a bullish daily close above the March 3 high on Thursday.
A key indicator is reporting overbought conditions, but the bulls remain undeterred.

Omkar Godbole FXStreet Contributor

EUR/USD is currently trading at 1.1223, representing marginal losses on the day, having hit a high of 1.1245 during the overnight trade. That was the highest level since Aug. 6, 2019.

Bullish setup on D1

The pair jumped 0.93% on Thursday and closed well above the March 3 high of 1.1213, establishing a fresh bullish higher high on the daily chart.

Thursday's gain also validated the single currency's defense of the all-important 200-day average at 1.11 observed on Wednesday and signaled a continuation of the rally from February's low of 1.0778.

The 14-day relative strength index has crossed into overbought territory above 70. The price chart, however, is showing no signs of buyer exhaustion.

All in all, the doors remain open for EUR/USD to extend gains toward the next major resistance lined up near 1.1282 (July 19, 2019 high).

A close under 1.1095 (Wednesday's low) is needed to invalidate the bullish setup. That level could be breached if the global equities pick up a strong bid and post solid gains for consecutive days, weakening the haven demand for the EUR.

Daily chart

Trend: Bullish

Technical levels

EUR/USD

Overview
Today last price	1.1222
Today Daily Change	-0.0006
Today Daily Change %	-0.05
Today daily open	1.1228

Trends
Daily SMA20	1.0937
Daily SMA50	1.1036
Daily SMA100	1.1061
Daily SMA200	1.11

Levels
Previous Daily High	1.123
Previous Daily Low	1.112
Previous Weekly High	1.1053
Previous Weekly Low	1.0805
Previous Monthly High	1.1089
Previous Monthly Low	1.0778
Daily Fibonacci 38.2%	1.1188
Daily Fibonacci 61.8%	1.1162
Daily Pivot Point S1	1.1155
Daily Pivot Point S2	1.1082
Daily Pivot Point S3	1.1045
Daily Pivot Point R1	1.1266
Daily Pivot Point R2	1.1303
Daily Pivot Point R3	1.1376

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

EUR/USD rebounds from session lows, stays below 1.1650

EUR/USD is recovers modestly from session lows but remains in the red below 1.1650 in European trading on Thursday. The pair faces headwinds from a renewed uptick in the US Dollar amid a negative shift in risk sentiment. Surging energy prices due to the Middle East war keep the bearish pressure intact on the Euro. The US Jobless Claims data are next of note.

GBP/USD stays weak near 1.3350 amid UK stagflation risks

GBP/USD sticks to losses near 1.3350 in the European session on Thursday. The Pound Sterling loses ground amid fears that the United Kingdom economy could face stagflation risks due to higher energy prices, while the US Dollar attracts fresh havem demand ahead of the US Jobless Claims data.

Gold climbs near $5,200 as Iran war fuels safe-haven demand

Gold price extends its gains for the second successive session on Thursday as traders seek safety amid the ongoing war in the Middle East. US and Israeli strikes across Iranian territory and widespread Iranian missile and drone retaliation across the Middle East, including attacks on regional targets and military sites, prolong the crisis and its impact.

Three reasons to be bearish on Bitcoin

Bitcoin is holding up well taking into account the uncertainty stemming from the Middle East. Despite this week’s rally, the long-term outlook remains bearish. Here are three reasons why I think the storm for the largest cryptocurrency isn't over yet.

Markets attempt to rally on positive news from Iran

There’s been an abrupt change in sentiment this morning, European stock markets are higher and oil and gas prices are moderating, after comments from Iran’s deputy minister about pre-conflict talks between Iran and the US.

Cardano Price Analysis: Approaches key trendline amid bearish sentiment

Cardano (ADA) price is approaching its descending trendline around $0.28 at the time of writing, set to shape the next directional move. The derivatives metrics paint a bearish picture, with ADA’s Open Interest continuing to fall and short bets rising among traders.