EURUSD recovery on the basis of a weaker Greenback.
EURUSD begins to rise, rebounding from the previous session’s intraday low of 1.0929. Because of improved economic data from the United States (US), the Euro faced a challenge versus the US Dollar (USD). The EURUSD pair is trading higher during Asian hours on Thursday, lingering around the important level of 1.0950.
EURUSD Technical Outlook
Before the two-month peak at 1.1017, the 1.1000 level could operate as a psychological barrier.
The important support is the seven-day EMA at 1.0922, followed by the psychological barrier at 1.0900.
The Moving Average Convergence Divergence (MACD) suggests a general upward trend. The MACD line is above the centerline and below the signal line. The 14-day Relative Strength Index (RSI) falls below 50, however. Investors may choose to be patient and wait for confirmation of the possible upward trend from this lagging signal.
The EURUSD pair may test psychological resistance at 1.1000, followed by a two-month high at 1.1017. The current positive attitude, which is supported by the MACD, might push the Euro pair past the psychological barrier and into a major level at 1.1050.
On the downside, the EURUSD pair may find support at the seven-day Exponential Moving Average (EMA) of 1.0922, followed by the psychological support level of 1.0900. A sustained break below the latter might energize the bears. The pair is expected to trade around the 23.6% Fibonacci retracement line around 1.0884.
