EUR/USD Daily Timeframe: Based on the daily chart, the EUR/USD currency pair's movement indicates a significant change in market structure after experiencing a phase of decline and consolidation in recent weeks. The price, which had previously fallen to the 1.1375 area, then gradually recovered. This increase intensified after EUR/USD emerged from the consolidation area and broke through several key resistance levels. At the end of the chart, the price is seen moving around the 1.1740 area after previously recording a sharp increase, suggesting that short- to medium-term momentum is starting to show a bullish trend. In terms of moving averages, the 100- and 200-day moving averages (MAs) are important indicators for identifying trend direction. The chart shows that the price has moved and remained above both moving averages. The 100-day moving average, indicated by the blue line, is located around the 1.1570-1.1580 area, while the 200-day moving average, indicated by the red line, is not far below, around the 1.1550-1.1570 area. The price position above these two moving averages indicates that buying pressure is beginning to outweigh selling pressure. In addition to the price position above the 100- and 200-day moving averages, the slope of both moving averages is also noteworthy. Previously, the 100-day moving average tended to move downwards and hovered around the upper price area. However, after a strong price recovery, bearish pressure began to ease, and the price successfully broke through the moving average area. The 100-day moving average began to show a flattening trend, while the 200-day moving average also remained relatively flat. This could indicate that the previous bearish trend is losing strength and the market is transitioning to a more positive structure. If the price can consistently remain above these two moving averages, the opportunity for a continuation of the bullish trend will increase. In terms of horizontal support and resistance, the closest critical level is currently at 1.1686. Previously, this area served as a strong resistance area, and the price struggled to break through. However, recent price movements have seen EUR/USD successfully move up and break through this level. Therefore, the 1.1686 area has the potential to transform into a new support area. As long as prices continue to move and remain above this level, bullish sentiment can be said to be well maintained.
The next resistance level is located around 1.1787. This area is important because it is close to the previous price peak. The chart shows that the price has previously risen to this area before experiencing selling pressure. Therefore, if EUR/USD retests 1.1787, the market will likely face a response from sellers. A valid breakout and a daily candle closing above this level would be a positive signal for continued upside. If this resistance is successfully broken, the next upside target could be the key resistance area around 1.1848, which is one of the highest levels in the price structure visible on the chart. On the downside, the next support level is located at 1.1621. This level plays a crucial role as a buffer zone should the price correct from its current level. As long as the correction remains above 1.1621, the short-term bullish structure can be maintained. A decline to this level could even be considered a healthy retracement as long as it is not accompanied by excessive selling pressure and the price consistently closes below the support level. The next support level is located at 1.1499. This level previously served as a key boundary during the consolidation phase before a more aggressive rally. If EUR/USD falls below 1.1621, the 1.1499 area will be a key area to monitor for further support. This area is also relatively close to the 100- and 200-day moving averages, making it a potential confluence zone between horizontal support and the moving average indicator. This confluence has the potential to strengthen the support area. Lower support is seen in the 1.1434 to 1.1375 range. The 1.1434 area previously served as a consolidation zone, while 1.1375 was one of the low points that served as the starting point for price recovery. If EUR/USD falls further and breaks through all support above it, the current bullish structure could weaken. Meanwhile, the lowest support on the chart is around 1.1324, which can be seen as a key boundary for the price structure during this observation period. The movement of the last candle indicates a fairly strong buying impulse after the price successfully moved up from the 1.1500 area. The rally then continued, breaking through the 100-day moving average (MA), 200-day moving average (MA), and resistance at 1.1621 before finally reaching and surpassing the 1.1686 area. This momentum indicates that buyers are taking control of the market. However, because the price has experienced a sharp rise in a relatively short period of time, the possibility of a pullback or technical correction remains important. Such a correction does not necessarily indicate a bearish trend change, especially if the price remains above key support.
