- EUR/USD bulls struggling to extend control.
- A potential symmetrical triangle in play on the 4H chart.
- Acceptance above 1.2174 is critical, as focus shifts to Fed.
The Fed is likely to strike a dovish tone, which could further weigh down on the greenback. At the time of writing, the main currency pair trades at 1.2160, almost unchanged on the day.
From a near-term technical perspective, the spot is hovering in the upper band of the recent trading range, having carved a potential symmetrical triangle formation on the four-hour chart.
A bullish breakout will be confirmed only if the price takes out the falling trendline (triangle) resistance at 1.2174 on a sustained basis. At that level, the 100-simple moving average (SMA) coincides.
At the moment, the euro pair is clinging onto the 21-SMA at 1.2157, awaiting a strong trading impetus. The upside break could call for a test of the 200-SMA at 1.2189, above which the 1.2200 could be probed.
Alternatively, the horizontal 50-SMA at 1.2130 would offer initial support. Further south, a breach of the rising trendline support at 1.2119 could yield a breakdown, opening floors towards January lows near mid-1.2100s.
The Relative Strength Index (RSI) points higher above the midline, suggesting that there is additional room to the upside.
EUR/USD: Four-hour chart
EUR/USD: Additional levels
|Today last price||1.2162|
|Today Daily Change||-0.0004|
|Today Daily Change %||-0.03|
|Today daily open||1.2167|
|Previous Daily High||1.2176|
|Previous Daily Low||1.2108|
|Previous Weekly High||1.219|
|Previous Weekly Low||1.2054|
|Previous Monthly High||1.231|
|Previous Monthly Low||1.1924|
|Daily Fibonacci 38.2%||1.215|
|Daily Fibonacci 61.8%||1.2134|
|Daily Pivot Point S1||1.2125|
|Daily Pivot Point S2||1.2082|
|Daily Pivot Point S3||1.2057|
|Daily Pivot Point R1||1.2193|
|Daily Pivot Point R2||1.2219|
|Daily Pivot Point R3||1.2261|
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