EURUSD is moving higher and may continue towards 1.0920 area as a retracement. Despite the intense Bearish pressure, Bulls can retrace higher. Let's check EURUSD technical analysis for more levels and insights.
February 26, 2020 | AtoZMarkets - EURUSD was quite volatile and corrective earlier this week. However, the EURUSD pair is heading higher towards the 1.0920 resistance area. If EURUSD manages to hold the price at 1.0920 area, Bearish pressure may sustain further. The dynamic level of 20 EMA working as support, along with the Kijun line and the Tenkan line.
EURUSD Fundamental Highlights
The Chinese Coronavirus is spreading too quickly to the Middle East countries, and also in the European countries after Italy. Therefore, Investors are losing hope that the U.S. economy is no longer safe. As a result, the United States Federal Reserve may cut the interest rate to support the U.S. economy.
Moreover, the Fed vice-Chair Richard Clarida said earlier this week," The Central Bank monitored the impact of the epidemic on the U.S. economy. However, it's still too soon to measure if it would require a change in monetary policies."
On the other hand, the Chinese Coronavirus is moving so fast with the fear that it may cover the whole world. The global economy is in uncertainty as it took place recently in Iran, South Korea, Italy and some parts of European countries. As per recent news, Coronavirus deaths rose to 16 in Iran, which may increase in the upcoming days. The Global economy is in a significant threat if we can't make an antidote of Coronavirus soon.
EURUSD Heads Higher and May Touch 1.0920
Currently, EURUSD is residing near the 1.088 area and may continue higher towards 1.0920 soon. After a highly volatile and corrective momentum EURUSD heading higher. The Bearish bias may continue further after a retracement.
image: EURUSD 1-Hour Chart
According to the 1-hour chart, EURUSD is pushing higher with the support of the dynamic level of 20 EMA. And the Kijun line and the Tenkan line is also working as confluence. Additionally, the MACD lines are also residing above the 0.00 line from an extended period. If EURUSD successfully retraces towards 1.0920 resistance area, Bearish pressure may occur in the upcoming days.
Will EURUSD Bearish Momentum Continue Further?
According to the daily chart, EURUSD is residing near 1.088 and may push higher towards 1.0920 area soon. After an impulsive and non-volatile Bearish momentum, EURUSD heading higher to retrace. The dynamic level of 20 EMA is residing near the resistance area 1.0920. It may also work as a strong resistance to continue the Bearish pressure.
image: EURUSD Daily Chart
Moreover, the MACD lines crossed each other towards the upside, which indicates that EURUSD may become volatile near the 1.0920 resistance area. Currently, there is hope from MACD lines which are residing below 0.00 line. The bearish trend may continue, but inevitable volatility may take place in the process.
To conclude, EURUSD may continue its Bearish pressure after retracing higher towards 1.0920 area. So, if the EURUSD is able to hold the price below 1.0920 with a daily close, the bearish trend may continue further in the coming days.