Seesawing at a seven-month high, the EUR/USD breaks a two-day winning run. Prices are held in check by one-week-old prior resistance even though purchasers seem to be losing pace.
Additional negative filters come from the 50-HMA and the rising trend line from December 22. During Monday’s weak trading session, the previous bull run shows weariness in the EUR/USD pair.
This causes the leading currency pair to reverse the upward breach of the previous resistance line that served as support for the previous day.
The pair’s retreat strengthens the negative bias, which gets cues from the bearish MACD signals and stable RSI.
However, for the main currency pair to reawaken the bears, a decisive downward breach of 1.0690 becomes essential.
However, the 50-HMA and an ascending support line from December 22 at 1.0665 and 1.0630 may limit the quote’s further decline.
If the EUR/USD price continues below 1.0630, the late-December swing low at 1.0570 may serve as a bullish attraction.
As an alternative, buyers require a confirmation from the monthly and immediate resistance lines, which are located at 1.0708 and 1.0713, respectively, to push prices toward the high in May 2022, which is close to 1.0785.
The 1.0800 might next test the EUR/USD bulls before indicating the pivotal resistance level to the north; the late April 2022 swing high of 1.0936.
Overall, buyers are still interested in buying EUR/USD, although a short-term retreat is developing lately.
Hourly chart for EUR/USD
