EURUSD consolidating near 1.0820 area may Bullish pressure sustain higher. It became volatile and corrective after the price bounced from 1.0640. Let’s check EURUSD Technical Analysis for more levels and insights.
March 24, 2020 | AtoZ Markets – EURUSD is currently residing near 1.0820 area, while the price is struggling to regain the Bullish momentum. The price is currently facing resistance at 1.0830 area, which may break above and continue higher in the coming days.
The U.S Dollar declined today due to the latest robust rescue package from the U.S. Federal Reserve. The U.S. Dollar Index, which tracks the USD against the other six currencies, is also down by 1.1%. Moreover, The Fed announced to buy an unlimited amount of Treasury bonds and mortgage-backed securities. The Fed is also taking programs to finance households, small businesses, and employers.
On the other hand, Euro suffering from the Coronavirus Pandemic is struggling to regain momentum over USD. Despite, the U.S. economy is also suffering from the same issue.
EURUSD Consolidating but Dynamic Support May Hold
The pair is currently residing near the 1.0820 area and trying to recover higher. EURUSD is currently consolidating, while trying to push the price higher.
Image: EURUSD 4 Hour Chart
According to the 4-hour chart, EURUSD is currently trading around 1.0820 area and retested 1.0790 as support. EURUSD is currently consolidating near support areas to regain the momentum but in a corrective way. So, if the price sustains above 1.0790 area, the Bulls may take the price higher towards the next resistance 1.0920.
Moreover, the dynamic level of 20 EMA is residing below the current price, while holding the price as support. The MACD lines are gradually moving upward as the Bulls are trying to regain the momentum. Besides, the Stochastic Oscillator lines are making progressive higher highs, while residing below the overbought level 80.
EURUSD Bounced Higher From Descending Channel
According to the Daily chart, the price is currently trading around 1.0820 area, while EURUSD is struggling to push higher. After the price bounced from the descending channel support near 1.0640 area, EURUSD is currently trying to break the above 1.0830 area. As per the current price action, EURUSD Bulls may continue to push higher as the price remains above 1.0640. Alternatively, if the price rejects the resistance level 1.0920 area, the Bearish trend may continue lower towards 1.0640 again.
Image: EURUSD Daily Chart
Furthermore, the dynamic level of 20 EMA is residing above the current price and also our expected resistance area 1.0920. As a result, it may pull the price higher as Mean Reversion. Besides, the Stochastic Oscillator lines are residing below the oversold level 20 and can intersect each other as Bullish Cross over.
To conclude, EURUSD is currently consolidating near the 1.0820 area and may regain Bullish momentum in the coming days. Though the overall bias is Bearish, Bears may continue its trend after a certain retracement.