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​Technical Analysis: EURUSD steps back from the key horizontal resistance on ECB day

The EURUSD pair's run-up to 12-week top fails to cross the horizontal resistance comprising tops marked on December 31, 2019, and March 16, 2020, amid overbought RSI conditions. As a result, the pair is likely to witness a pullback towards a 61.8% Fibonacci retracement level of 1.1165. However, the pair's further downside will be restricted bu March 27 top near 1.1145, if not then a 200-day EMA level of 1.1030 can lure the bears.

If at all the bulls manage to ignore RSI conditions as print a daily closing beyond 1.1240, 1.1330, and 1.1365/70 could return to the charts. It should additionally be noted that the pair's extended rise past-1.1370 enables it to challenge the yearly top surrounding 1.1500.

Concerning the ECB, the European Central Bank is expected to add 500 billion Euros to its Pandemic Emergency Purchase Programme (PEPP) while holding the key interest rates unchanged. The pair's latest selling can get confirmation if the regional central bank disappoints markets.

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