EUR/USD Surpasses 1.0900 Threshold Ahead of Eurozone PMI Data
EUR/USD takes center stage, ascending beyond the 1.0900 threshold on Thursday. This surge is fueled by the anticipation surrounding Eurozone PMI data, highlighting the persistent positive outlook for this primary pair. What underlines this optimism is its unwavering position above the crucial 50- and 100-hour Exponential Moving Averages (EMA).
Breaking Downtrends: A Resilient Surge Beyond 1.0900
Breaking free from a two-day downtrend, the EUR/USD duo displays resilience, surging past the 1.0900 mark during the Asian session on Thursday. The trading community awaits the revelation of Eurozone preliminary PMI data and insights from the European Central Bank (ECB) minutes. The Thanksgiving day holiday in the US contributing to subdued market conditions. Currently hovering around 1.0905, the primary pair marks a noteworthy 0.16% uptick on the day.
Technical Resilience: Bullish Potential Intact
From a technical standpoint, the bullish potential of EUR/USD remains robust. Anchored by its steadfast position above the 50- and 100-hour EMAs on the four-hour chart. The Relative Strength Index (RSI) further fortifies the bullish stance, residing comfortably above 50 and offering support to the buyers.
EUR/USD: Key Levels and Milestones
The journey upward encounters its initial hurdle at 1.0965, a significant level marked by the convergence of the upper boundary of the Bollinger Band and a peak recorded on November 21. Beyond this lies the pivotal resistance level. Positioned near the psychological round figure of 1.1000 and a peak observed on August 11. A decisive breach of this barrier sets the stage for a rally towards the peak of August 4 at 1.1042, ultimately aiming for the zenith of July 27 at 1.1149.
Downside Safeguards
On the flip side, the lower boundary of the Bollinger Band at 1.0870 serves as the primary support level for the primary pair. Additional downside protection comes into play around the 50-hour EMA and a low recorded on November 22 within the 1.0850-1.0860 range. Further south, the 100-hour EMA at 1.0790 stands as a formidable contention level. A breach of this level would catalyze a descent towards the peak of November 9 at 1.0725.
EUR/USD Four-hour Chart
In conclusion, the journey of EUR/USD is marked by optimism and technical resilience. Providing traders with a landscape rich in potential opportunities. As market dynamics unfold, the interplay between key levels and milestones will continue to shape the narrative of this primary currency pair.
