EUR/USD has topped 1.19 after Pfizer and BioNTech announced their coronavirus vaccine is 90% efficient. Stocks are surging and the safe-haven dollar is down. The outcome of the US elections is being closely watched.
From a technical perspective, EUR/USD is retesting an ascending trendline that was tested in late October. On the daily chart, the Stochastic indicator is located at 92, indicating the overbought condition. Resistance awaits at 1.190, a psychological round figure mark, which was also a peak in September.
Some support awaits at 1.1860, which was October's swing high from last week. The breakout below the October swing high (1.1860) will carve a path for the bears to test the key support (1.1620) of the 4-month trading range.
On the flip side, if the bulls make a strong breakout above the August resistance level at 1.1935, a surge towards the September high level could be expected to retest the 1.200 mark.
