EUR/USD Price Analysis: Recovery remains capped below 1.1370, bears flexing muscles

EUR/USD pares the biggest daily loss in two weeks inside a choppy range.
Steady RSI, bullish MACD signals keep buyer hopeful.
Six-week-old descending trend line joins nearby horizontal hurdle to challenge upside.
Ascending triangles formation could offer fresh yearly low on break of 1.1240.

Anil Panchal FXStreet

EUR/USD grinds lower around 1.1300 after posting the biggest daily fall in a fortnight. The major currency pair reversed from the 21-day EMA the previous day but stays inside a bearish chart pattern during early Friday morning in Asia.

It’s worth noting that the bullish MACD signals and firmer RSI favor the buyers but 21-day EMA, around 1.1340, acts as an immediate hurdle to recovery moves.

Adding to the upside filters, actually being a major hurdle, is the joint of a descending trend line from late October and the upper line of the stated three-week-long ascending triangle, around 1.1370.

Should the quote jumps past 1.1370, odds of its run-up to a descending resistance line from September, near 1.1520 can’t be ruled out.

Alternatively, a downside break of the triangle’s support, at 1.1240 by the press time, will initially attack the yearly low of 1.1186 during the theoretical slump towards 1.1050.

To sum up, EUR/USD struggles for a clear direction but bears have the upper hand.

EUR/USD: Daily chart

Trend: Sideways

Additional important levels

Overview
Today last price	1.1295
Today Daily Change	-0.0054
Today Daily Change %	-0.48%
Today daily open	1.1349

Trends
Daily SMA20	1.1311
Daily SMA50	1.1479
Daily SMA100	1.1629
Daily SMA200	1.1805

Levels
Previous Daily High	1.1355
Previous Daily Low	1.1265
Previous Weekly High	1.1383
Previous Weekly Low	1.1235
Previous Monthly High	1.1616
Previous Monthly Low	1.1186
Daily Fibonacci 38.2%	1.1321
Daily Fibonacci 61.8%	1.1299
Daily Pivot Point S1	1.1291
Daily Pivot Point S2	1.1233
Daily Pivot Point S3	1.1202
Daily Pivot Point R1	1.1381
Daily Pivot Point R2	1.1412
Daily Pivot Point R3	1.147

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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