FX.co ★ EUR/USD

EURUSD Trading Analysis: EUR/USD is trading around 1.11940, and we might witness a dramatic comeback in US index inflation, rejecting the downside at 1.11230 and driving prices beyond a neutral lower view at 1.12330. In this situation, powerful bulls rise, paving the way for greater gains and hitting the 1.13100 possible barriers before breaking through to pass the upper middle band bridge at 1.13340. Bollinger bands and oscillators have lately converged to the upward, breaking above the midline above 1.12050 in recent sessions, indicating that the market is bullish and poised to reach new highs above 1.13050. The trend is expected to continue rising as long as the price continues above the 38.8% Fibonacci retracement line of 1.15330. The MACD oscillator strengthens the bullish momentum above the trigger line in the positive zone, but the RSI remains at the extremes, implying potential losses. Further upward might see the 25-day and 50-day simple moving averages at 1.13230, followed by the next resistance at 1.14120. Resistance might also rise to the psychological level of 1.15340 before breaking through the weekly and daily pivot points at 1.17100. Traders must break a confirmation signal and then take more risks about the trend direction of the moving market. In the 4-hour time frame, the moving price action and the last closing candle will form a bullish engulfing candlestick pattern as the buyer's revolution maintains the power of 1.12340. On the other side, if the pressure is selling recovers, the price projection may test the mid-large bands below the 20-day simple moving average at 1.09340 before breaking through the weekly and daily pivot points at 1.08900. High-impact news data and favourable sentiment at the MACD and RSI midlines will cause prices to rise around 1.13340. Traders must identify a fundamental confirmation signal and take rapid action by passing the 71.3% Fibonacci Retractrace bridge at 1.15330. The present optimism provides good strength, and the RSI signal will remain strong bullish around 1.16340.