EURUSD has become volatile and currently residing below 1.1700 psychological level. EURUSD facing resistance around 1.1700 ahead of NFP this week. Will bears regain momentum? What are the charts and technical indicators are saying? Read more to find further insights into today’s EURUSD Technical Analysis.
September 29, 2020, | AtoZ Markets – EURUSD is currently trading around 1.1670 area and trying to push downside. However, the price is still residing above the dynamic level of 20 EMA on the intraday chart. As per the current price action, the bulls may find support at the dynamic level on the intraday chart in the coming days.
The US non-farm payrolls report is going releasing this week on Friday. However, last month’s NFP report was quite good, which was 1371k. Moreover, the next Friday NFP report was predicted 850k. If the actual comes greater than the forecast, it is seen as bullish for USD. In contrast, a negative reading may be seen as bearish for USD.
On the other hand, the Harmonized Index of Consumer Prices (YoY) report is going to publish today. HICP is a measurement of prices utilized by the Governing Council of the EU to characterize and evaluate value steadiness in the euro region in general in quantitative terms.
EURUSD Facing Resistance as the HICP Report Publishing Today
EURUSD is currently residing near 1.1670 area and trying to bounce from the dynamic level. Moreover, the price is also residing above the Kijun line and the Tenkan line on the intraday chart.
Image: EURUSD 4 HOUR Chart
According to the 4-hour chart, EURUSD facing resistance and currently trading around 1.1670 area. As per the current price action, if the price bounces higher from the dynamic level and had a 4-hour bullish candle close above it, the bulls may recover further towards 1.1700 area. So, if the price reaches 1.1700 area and rejects, the bears may regain momentum and decline towards 1.1620 area in the days ahead. Alternatively, if the price breaks above 1.1700 area with an impulsive bullish candle close, the bulls may sustain the bullish pressure towards 1.1750 area in the days ahead.
In addition, the dynamic level of 20 EMA is currently residing below the price. Along with the Kijun line and the Tenkan line. The dynamic level may work as strong support to push the price upside. Besides, the Kijun line and the Tenkan line may work as a confluence of the dynamic level in the process.
EURUSD May Revert Back to the Mean
According to the daily chart, EURUSD facing resistance but the price had strong daily bullish close yesterday. As per the current price action, if the price can break above the last candle’s high with a daily bullish candle close, the bulls may push the price higher towards 1.1750 area in the days ahead. So, if the price reaches 1.1750 area and rejects, the bears may continue the bearish bias towards 1.1620 area as a first target. The second target will be 1.1500 area if the price breaks below 1.1620 support in the coming days.
Image: EURUSD Daily Chart
Furthermore, the dynamic level of 20 EMA is currently residing above the price. It may pull the price upward as a mean reversion. Also, the MACD lines are currently residing near 0.00 level and may have a bullish cross over. It indicates bulls may sustain the bullish pressure further in the process.
To conclude, after an impulsive bearish momentum, the price may retrace at least towards the dynamic level of 20 EMA. A daily close will help to identify the definite momentum in the coming days.