EUR/USD Price Analysis: Picks up bids near 1.0550 inside weekly triangle


  • EUR/USD picks up bids inside a fortnight-old trading range, weekly symmetrical triangle.
  • Clear break of three-week-old descending trend line, firmer RSI adds strength to the recovery moves.
  • 100-SMA offers an extra challenge to buyers before giving them control.

EUR/USD extends the early Asian session rebound towards poking the 1.0550 mark as European traders brace for Wednesday’s bell.

The major currency pair’s latest recovery could be linked to the U-turn from the previous resistance line stretched from April 21. Also keeping buyers hopeful is the recently firmer RSI (14) line.

It should be noted, however, that a one-week-long symmetrical triangle restricts short-term EUR/USD moves between 1.0565 and 1.0520.

Hence, the latest upside momentum eyes the triangle’s resistance line, namely around 1.0565, a break of which could direct buyers towards the 100-SMA level, near 1.0630 at the latest.

Even if the quote rises past 1.0630, the current month high around 1.0640-45 will act as an additional filter to the north before confirming the advances targeting the 1.0700 region.

On the contrary, a downside of the stated triangle’s support, around 1.0520, will be challenged by the resistance-turned-support line, close to 1.0515 at the latest.

Should the quote drop below 1.0515, the 1.0500 and April’s low near 1.0470 will lure the EUR/USD bears.

EUR/USD: Four-hour chart

Trend: Further recovery expected

Additional important levels

Overview
Today last price 1.0545
Today Daily Change 0.0017
Today Daily Change % 0.16%
Today daily open 1.0528
 
Trends
Daily SMA20 1.0668
Daily SMA50 1.0858
Daily SMA100 1.1092
Daily SMA200 1.1336
 
Levels
Previous Daily High 1.0586
Previous Daily Low 1.0526
Previous Weekly High 1.0642
Previous Weekly Low 1.0483
Previous Monthly High 1.1076
Previous Monthly Low 1.0471
Daily Fibonacci 38.2% 1.0548
Daily Fibonacci 61.8% 1.0563
Daily Pivot Point S1 1.0507
Daily Pivot Point S2 1.0486
Daily Pivot Point S3 1.0447
Daily Pivot Point R1 1.0567
Daily Pivot Point R2 1.0606
Daily Pivot Point R3 1.0627

 

 

Share: Feed news

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


Recommended content

Editors’ Picks

EUR/USD stays below 1.0900 as USD benefits from souring mood

EUR/USD stays below 1.0900 as USD benefits from souring mood

EUR/USD stays on the back foot and trades below 1.0900 following Thursday's sharp decline. Dovish comments from European Central Bank officials and the risk-averse market atmosphere make it difficult for the pair to stage a rebound on Friday.

EUR/USD News

GBP/USD flirts with weekly low below 1.2950

GBP/USD flirts with weekly low below 1.2950

GBP/USD trades in negative territory below 1.2950 on Friday. Disappointing Retail Sales data from the UK combined with the US Dollar (USD) recovery, fuelled by safe-haven flows, causes the pair to stay under bearish pressure ahead of the weekend.

GBP/USD News

Gold extends daily slide, trades near $2,400

Gold extends daily slide, trades near $2,400

Gold's correction from the record-high set earlier in the week deepens on Friday. With the US Dollar (USD) benefiting from safe-haven flows and the 10-year US yield holding steady above 4.2%, XAU/USD tests $2,400.

Gold News

Top 10 crypto market movers as Bitcoin and Ethereum hold steady ahead of $1.8 billion options expiry

Top 10 crypto market movers as Bitcoin and Ethereum hold steady ahead of $1.8 billion options expiry

Bitcoin and Ethereum hold steady above $64,000 and $3,400 as $1.8 billion in options expire on Friday. WazirX hack of $230 million potentially linked to Lazarus Group ushers correction in Shiba Inu, among other assets. 

Read more

Week ahead – Flash PMIs, US GDP and BoC decision on tap

Week ahead – Flash PMIs, US GDP and BoC decision on tap

US data awaited amid overly dovish Fed rate cut bets. July PMIs to reveal how economies entered H2. BoC decides on monetary policy, may cut rates again.

Read more

Forex MAJORS

Cryptocurrencies

Signatures