EUR/USD Price Outlook: Surpasses 1.1650, moving averages signal bullish turnaround

EUR/USD Maintains Upward Momentum

For the third consecutive day, EUR/USD continues its upward trend, trading near 1.1670 during Wednesday's Asian session. Technical signals from the daily chart suggest a shift to bullish sentiment, as the pair moves above the previous downward channel.

EUR/USD has climbed past both the nine-day and 50-day Exponential Moving Averages (EMAs), hinting at a developing bullish outlook following a period of weakness.

The 14-day Relative Strength Index (RSI) stands at 56, indicating positive momentum and supporting the ongoing recovery. This setup suggests buyers are regaining influence, provided the pair remains above recent breakout points. Sustained movement above the cluster of shorter-term moving averages could pave the way for further gains.

Potential Targets and Support Levels

• On the upside, EUR/USD could aim for the six-week peak at 1.1795, last seen on March 2.
• If the rally continues, the pair may approach 1.2082, the highest level since June 2021, reached on January 27.

• Immediate support is found at the 50-day EMA of 1.1632, followed by the nine-day EMA at 1.1575.
• If EUR/USD slips back into the descending channel, it may face downward pressure toward the eight-month low of 1.1411, recorded on March 13.
• Further weakness could push the pair to test the channel near 1.1220.

EUR/USD Daily Chart Overview

This technical analysis was assisted by an AI tool.