After Monday’s trading day in Europe, the EUR/USD pair settled comfortably around the 1.08 mark, showing only a slight dip within its range for the day. Despite this small retreat, the pair still exudes a bullish momentum, bolstered by longer-term moving averages. Key support is notably visible at around 1.0730, but to reignite upward momentum, the pair needs to break back into the 1.0830–1.0840 region.
In the session on Monday, after European markets closed, we saw a minor decline in the EUR/USD, keeping it near the 1.08 mark and comfortably within the day’s trading range. Although the day’s movement reflects a slightly bearish tone, the bigger picture drawn from technical indicators continues to favor the bulls. Also noteworthy, the MACD has indicated a fresh sell signal, yet the long-term outlook remains positive with the 100-day and 200-day simple moving averages on an upward trajectory.
Looking at the daily chart, we see a mixed bag from a technical standpoint. The 14-period Relative Strength Index sits at 57.6, signaling a neutral zone, while the Stochastic oscillator is also in neutral territory, hovering at around 35.5. Favorably for buyers, exponential moving averages are trending upwards. The 10-day EMA is at 1.0811 and the 30-day EMA sits at 1.0723, both indicating that if support levels hold, buyers remain in control.
Close support is positioned near 1.0793, then 1.0773, with the 200-day SMA establishing a significant safety net at around 1.0730 for bullish traders. On the flip side, resistance looms at 1.0811, 1.0823, and then 1.0828, levels that need to be overcome to strengthen the bullish momentum. Overall, while the EUR/USD maintains a cautiously optimistic forecast, we should prepare for choppy trading as the pair consolidates near the mid-1.08 range.
