EUR/USD is holding above 1.1500 for a fourth straight day after Monday's pullback from its highest level since June 17. Bulls have yet to clear the 1.1524 Fibonacci barrier, but a weaker dollar keeps the near-term bias tilted higher while support at 1.1500 holds.
EUR/USD remains above the 1.1500 mark for a fourth consecutive day, even after Monday's pullback from the pair's highest level since June 17. The retreat warned of a potential stall in the recovery rally that had carried the pair from 1.1353 to 1.1559.
Buyers have not managed a clear break above the Fibonacci barrier at 1.1524, the 38.2% retracement of the 1.1849/1.1324 decline. A falling trendline off the 1.1849 high, now at 1.1533, has added to the resistance overhead. Even so, the pullback found footing at 1.1500, which guards another key support at 1.1465, the base of the daily cloud.
That keeps the near-term bias with the bulls, despite fading bullish momentum and an overbought stochastic reading on the daily chart. A softer dollar contributes to the euro's positively aligned near-term outlook. Still, a sustained break of the 1.1524 and 1.1533 pivots is required to validate the bullish scenario and confirm continuation.
Clearing that zone would unmask the next barriers at 1.1567, the 100-day moving average, 1.1586, the top of the daily cloud, and 1.1627, the 200-day moving average, in extension. Resistance sits at 1.1540, 1.1567, 1.1586, and 1.1627. Support runs through 1.1500, 1.1465, 1.1448, and 1.1433.
Source: ActionForex
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