Technical Analysis – EURUSD tries to retest 1.0970; neutral in medium-term
April 12, 2023 1:27 pm
EURUSD is gaining steam as it approaches the 1.0970 resistance level again after the drop near the 20-day simple moving average (SMA). The pair is stabilizing within a range with 1.0970 as the upper boundary and 1.0530 as the lower barrier on a medium-term timeframe. The pair may remain bullish in the longer term as it holds above the uptrend line created on September 28.
In the event of an upside rally, the pair is anticipated to see buyers near the 1.0970 level, with the more important 1.1030 level being registered on February 2. If the price is able to break above this crucial level, it will be able to move towards 1.1180, reached in March 2022.
If prices head down, the nearest support is at the 20-day SMA now at 1.0840. The long-term rising trend line and the flat 50-day SMA around 1.0720 are both potential supports, but the 1.0760 inside swing high may be more essential in the short term. If this level is broken, attention will shift to the downside, and prices may hit the 23.6% Fibonacci retracement level of the rising leg from 0.9535 to 1.1030 at 1.0680 ahead of the 200-day exponential moving average (EMA) at 1.0590, still within the neutral zone, before breaking lower.
To turn the view decisively bullish, EURUSD needs to make a sustained move over 1.1030.
EURUSD is gaining steam as it approaches the 1.0970 resistance level again after the drop near the 20-day simple moving average (SMA). The pair is stabilizing within a range with 1.0970 as the upper boundary and 1.0530 as the lower barrier on a medium-term timeframe. The pair may remain bullish in the longer term as it holds above the uptrend line created on September 28.
In the event of an upside rally, the pair is anticipated to see buyers near the 1.0970 level, with the more important 1.1030 level being registered on February 2. If the price is able to break above this crucial level, it will be able to move towards 1.1180, reached in March 2022.
If prices head down, the nearest support is at the 20-day SMA now at 1.0840. The long-term rising trend line and the flat 50-day SMA around 1.0720 are both potential supports, but the 1.0760 inside swing high may be more essential in the short term. If this level is broken, attention will shift to the downside, and prices may hit the 23.6% Fibonacci retracement level of the rising leg from 0.9535 to 1.1030 at 1.0680 ahead of the 200-day exponential moving average (EMA) at 1.0590, still within the neutral zone, before breaking lower.
To turn the view decisively bullish, EURUSD needs to make a sustained move over 1.1030.
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