After topping 1.18, the world’s most popular currency pair is now at crossroads as Wednesday’s 4-hour chart is painting a mixed picture. Yohay Elam, an analyst at FXStreet, still believes bulls are in advantage but notes that bears are gaining some ground.
“Momentum on the 4-hour chart has turned to the downside, yet the EUR/USD pair is still trading above the 50, 100, and 200 Simple Moving Averages while the Relative Strength Index is balanced.”
“The daily high of 1.1825 is the initial resistance line, followed by 1.1850, a level that capped EUR/USD in 2018. The 2020 peak of 1.1909 and 1.20 are next.”
“Support awaits at 1.1780, a temporary cap on the way up, and 1.1730, a swing low last week. Critical support awaits at 1.17, which is a double-bottom, followed by 1.1625.”