Resistance Across the Board for EUR/USD
Active 50-Month SMA
Europe’s single currency (EUR) has been on a tear versus the US dollar (USD), up +2.7% month to date. The monthly chart shows buyers and sellers are now squaring off around the 50-month simple moving average (SMA) at US$1.1110, which, alongside neighbouring resistance at US$1.1233, could prove a difficult headwind for bulls to overcome. Another variable to consider here is the trend; the EUR/USD pairing remains in a long-term downtrend, and this, according to price action, will only be invalidated once/if price engulfs the US$1.1276 high formed in July 2023.
Daily and H1 Resistance in View
Meanwhile, price action on the daily timeframe made short work of resistance at US$1.1019, which is now potential support. This cleared the airspace for a run to resistance from US$1.1127, which price is within striking distance of hitting. With the monthly chart showing possible (dynamic) resistance from the 50-month SMA at US$1.1110, daily resistance from US$1.1127 may be a level to watch. A breach of this base might also swing the technical pendulum in favour of further outperformance towards resistance at US$1.1214.
Short-term trading on the H1 chart reveals price recently moved through offers at US$1.11 and shook hands with channel resistance, taken from highs of US$1.1050 (local) and US$1.1047. Note that just north of the aforesaid channel resistances lies another resistance at US$1.1123.
Price Direction?
From the monthly to the daily and H1 timeframes, notable resistance is present on the EUR/USD, between US$1.1127 and US$1.1110. As such, profit-taking at the said resistance area should not surprise, and a downside breakout beyond the local H1 ascending channel could be something short-term sellers watch for.
Europe’s single currency (EUR) has been on a tear versus the US dollar (USD), up +2.7% month to date. The monthly chart shows buyers and sellers are now squaring off around the 50-month simple moving average (SMA) at US$1.1110, which, alongside neighbouring resistance at US$1.1233, could prove a difficult headwind for bulls to overcome. Another variable to consider here is the trend; the EUR/USD pairing remains in a long-term downtrend, and this, according to price action, will only be invalidated once/if price engulfs the US$1.1276 high formed in July 2023.
Daily and H1 Resistance in View
Meanwhile, price action on the daily timeframe made short work of resistance at US$1.1019, which is now potential support. This cleared the airspace for a run to resistance from US$1.1127, which price is within striking distance of hitting. With the monthly chart showing possible (dynamic) resistance from the 50-month SMA at US$1.1110, daily resistance from US$1.1127 may be a level to watch. A breach of this base might also swing the technical pendulum in favour of further outperformance towards resistance at US$1.1214.
Short-term trading on the H1 chart reveals price recently moved through offers at US$1.11 and shook hands with channel resistance, taken from highs of US$1.1050 (local) and US$1.1047. Note that just north of the aforesaid channel resistances lies another resistance at US$1.1123.
Price Direction?
From the monthly to the daily and H1 timeframes, notable resistance is present on the EUR/USD, between US$1.1127 and US$1.1110. As such, profit-taking at the said resistance area should not surprise, and a downside breakout beyond the local H1 ascending channel could be something short-term sellers watch for.
כתב ויתור
המידע והפרסומים אינם אמורים להיות, ואינם מהווים, עצות פיננסיות, השקעות, מסחר או סוגים אחרים של עצות או המלצות שסופקו או מאושרים על ידי TradingView. קרא עוד בתנאים וההגבלות.