The euro currency has fallen against the US dollar after bulls failed to break above the current monthly high, around the 1.2177 area. Failure to overcome the 1.2070 area in the near-term could result in a correction back towards the consolidation range between 1.2170-1.2070. Risk-sentiment is currently elevated and pressuring the single currency, with a number of indices declining sharply.
EUR/USD rebounded to almost the uptrend support line on Thursday, benefiting from the bullish momentum on the four-hour chart. Moreover, the Relative Strength Index is below 70, outside overbought conditions.
Resistance awaits at monthly high 1.2170 region (2020 peak), followed by 1.22 and 1.2250, lines that played a role back in 2018. Next support awaits at 1.2070, which was a cushion on Thursday. It is followed by 1.990 which is a swing high resistance during November.
The EUR/USD pair is clearly bearish while trading below the 1.2070 level and only bullish while trading above the key resistance is found at the 1.2170
