Thursday’s Asian session, the EUR/USD pair, which is still well supported by a number of factors, maintains stability close to its highest point since late May.
The golden cross, which occurs when the 50-day SMA crosses the 200-day SMA, favors bullish traders from a technical standpoint.
Additionally, the daily chart’s bullish oscillators, which are still a long way from reaching overbought levels, suggest the likelihood of another short-term upward movement.
As a result, it appears that some follow-through strength might continue over the 1.0800 level and test the following pertinent barrier close to the 1.0855 area.
If the trend continues, the EUR/USD pair may be able to recapture the round number for the first time since April 2022.
Alternatively, the 1.0730 horizontal zone now appears to shield the immediate downside before the 1.0700 level.
Any further slide is more likely to draw new buyers and be contained close to the support range of 1.0650-1.0645.
However, failure to protect the mentioned support levels might result in technical selling, leaving the EUR/USD pair open to additional declines under the 1.0600 level.
In order to reach the psychological level of 1.0500 and the monthly low, which is in the area of 1.0480, spoor prices may then decline to test the 1.0540-1.0535 support area.
The latter should serve as a turning point; if it is convincingly violated, the near-term bias will change in favor of bearish traders.
