EUR/USD consolidates yearly gains, retaining its bullish stance

EUR/USD gives up some ground after reaching a fresh 2020 high on Wednesday at 1.2309. The pair is quiet in ultra-thin market conditions as the world celebrates Year-End but the rally is set to continue, according to FXStreet’s Chief Analyst Valeria Bednarik.

Key quotes

“The US has just released Initial Jobless Claims for the week ended December 25, which came in at 787K against the 833K expected. Wall Street is poised to open with losses, following the lead of its European counterparts. US markets are due to close earlier today, which means activity will likely stall shortly.”

“The EUR/USD pair retains its bullish stance. The 4-hour chart shows that it bounced from a  bullish 20 SMA, currently providing dynamic support around 1.2260. The longer moving averages maintain their bullish slopes well below the current level, while technical indicators consolidate within positive levels.”

See – EUR/USD Price Forecast 2021: Euro-dollar long-term bullish breakout points to 1.2750