EURUSD Testing the significant level of 1.0650, followed by the nine day EMA.
The EURUSD stays flat during Asian trading hours on Tuesday, hovering around 1.0650. Technical analysis reveals that the pair is bearish as it tries to break below the pullback barrier around 1.0695. The 14-day Relative Strength Index (RSI) stays below 50.
Technical Outlook
A break below 1.0600 might send the pair back to its November low of 1.0517.
The nine-day EMA (1.0675) appears to be the immediate barrier.
Furthermore, the lagging indicator Moving Average Convergence Divergence (MACD) implies weakness for the EURUSD(Euro)pair because it is below both the centerline and the signal line. Key support The pair’s psychological level was around 1.0600.
A break below this level might put downward pressure on the pair, sending it to the region around the main support level of 1.0550, followed by November’s low of 1.0517.
On the upside, the EURUSD pair could face immediate resistance from the nine-day Exponential Moving Average (EMA) around 1.0675. A break over this level might take the pair to the 1.0695 level, which corresponds to the 23.6% Fibonacci retracement level drawn between 1.0981 and 1.06.
Further resistance is consistent with the psychological threshold of 1.0700. A breach above this level could boost the pair’s recovery sentiment.
