MTradingGlobal

EURUSD bulls need 1.1840 breakout to prosper

Long
FX:EURUSD   Euro / U.S. Dollar
Despite staying beyond 200-EMA so far in September, EURUSD gains have recently been challenged by a one-week-old descending trend line near 1.1840. Considering the firmer RSI and receding bearish bias of MACD , the upside momentum has brighter chances to accelerate towards the monthly high, also the double-top, surrounding 1.1910. However, 1.1855 may offer an intermediate halt during the rise. Should the pair manages to cross the 1.1910 hurdle, it becomes capable to revisit the early June lows near 1.2100.

Meanwhile, a downside break of the 200-EMA level surrounding 1.1810 has an extra filter to the south, namely the August 13 peak close to the 1.1800 round figure. Also acting as short-term supports are 50% and 61.8% Fibonacci retracement level of August-September upside, respectively around 1.1785 and 1.1755. Given the EURUSD bear’s dominance past 1.1755, the early August low near 1.1700 will act as a buffer during the fall to the yearly low close to 1.1665-60.