At the start of the new trading week on Monday, the EURUSD is hanging around 1.0900. The pair has held last week’s corrective drop, letting traders to breathe a sigh of relief in the midst of a wide US Dollar decline. The spotlight switches to Germany’s IFO survey for new trade momentum.
Bulls in the EURUSD look to be running out of steam around the 1.0900 round figure. Failing to extend the recovery off a one-week low beyond the 200-Hour Moving Average (HMA). Heading into Monday’s European session.
As a result, the Euro pair validates traders’ scepticism ahead of a speech by European Central Bank (ECB) President Christine Lagarde at the ECB Forum. The primary venue where several central bankers are scheduled to speak this week.
EURUSD Technical Outlook
It’s worth mentioning that the cautious mindset and the 200-HMA. Which is currently around 1.0915, aren’t the only obstacles for EURUSD bulls. As a convergence of the 50-HMA and the prior support line from June 06. Which is currently around.0930, also prods the Euro pair buyers.
Furthermore, a horizontal region comprised of peaks established since June 16, close to 1.0945-50, serves as the EURUSD bears’ last line of defense.
On the contrary, the mid-June swing high at 1.0860 precedes the 50% Fibonacci retracement level of June 06-22 upside, near 1.0840, to restrict the EURUSD pair’s short-term downside.
It’s worth mentioning that the swing high in early June was about 1.0785-90. The ultimate battleground for Euro purchasers looks to be.
