- After reviving a 2.5-month high, the EUR/USD grinds close to its intraday low.
- The Euro pair’s retreat from a three-week-old resistance line is supported by an overbought RSI.
- The major support is 1.0860, which limits the immediate downside due to the previous weekly top.
After hitting a 10-week high earlier in the day, the EUR/USD bulls pause around 1.0990 in the early hours of the European session on Thursday.
This justifies the overbought RSI conditions when the Euro pair reverses from a rising resistance line from March 23. Nonetheless, many levels to the south and positive MACD signs keep quotation purchasers optimistic.
Nonetheless, the previous weekly peak near 1.0970 seems to be strong support for the EUR/USD bears to keep an eye on throughout further decline.
The 200-Hour Moving Average (HMA), which is located between 1.0910 and 1.0950, respectively, might then present a problem for the EUR/USD sellers.
The round number 1.0900 and an upward-sloping support line from March 24, which was near 1.0860 at press time, will be the last line of defence for the purchasers of the pair if the EUR/USD bears gain control past 1.0910.
On the other hand, in order to reinstate the EUR/USD bulls, recovery advances must break through the aforementioned three-week resistance line, preferably near 1.1010.
Even so, the February 1.1035 yearly high may limit the Euro pair’s upside potential before sending investors in the direction of the 1.1185 peak in late March 2022.
Notwithstanding the most recent decline, EUR/USD is still on the bull’s radar overall.