EUR/USD enjoys fresh gains in American Session, Moving Towards first Resistance 1.11072
EUR/USD Technical Analysis
The technical outlook of the daily chart of EUR/USD shows signs of a bullish trend continuation. With the start of the American Trading session, the currency pair EUR/USD reached its 57-week highest level at 1.10956. this level was last seen at the end week of March last year. The price has been moving on an ascending channel since last month, and it looks like it is getting stronger with time.
The technical indicators are all also giving bullish indications. The Relative Strength Index (RSI) is about to enter the overbought zone with a 63.13 value. Furthermore, the Stochastic Oscillator is also reaching the overbought zone, giving signals of a strong bullish trend. Meanwhile, the MACD histograms are forming long and strong above the zero line.
The EUR/USD prices will likely remain in the positive direction for the time being, facing first resistance at 1.11072. If the pair manages to move past this level, it could trigger a massive rally toward the second resistance at 1.11909. It is the same level where the weekly 200-Period Simple Moving Average (SMA) is resting. On the downside, the initial support is lying at 1.109892, which is equal to the lower band of the ascending channel. Any break below this level could revert the direction of the EUR/USD pair to the downside towards the next support at 1.09219.
Daily Technical Levels
Pivot Point: 1.1001