- EUR/USD shows potential for further gains as the 14-day RSI signals an impending upward correction.
- Immediate resistance is seen at the nine-day EMA near 1.0350.
- Key support is positioned around the psychological level of 1.0000.
The EUR/USD pair halts its four-day losing streak, trading near 1.0270 during Friday’s Asian session. The daily chart analysis indicates a sustained bearish bias, with the pair moving within a descending channel.
The 14-day Relative Strength Index (RSI), a key momentum indicator, hovers near the oversold threshold of 30, suggesting a potential upward correction in the near term. However, the nine-day Exponential Moving Average (EMA) remains below the 14-day EMA, reflecting weak short-term momentum and reinforcing the bearish outlook.
On the upside, the pair faces initial resistance at the nine-day EMA of 1.0350, followed by the 14-day EMA at 1.0379. A break above these levels could lead the pair toward the channel’s upper boundary at 1.0470, with additional gains targeting the seven-week high of 1.0630.
To the downside, key support lies at the psychological level of 1.0000, followed by the descending channel’s lower boundary at 0.9970. A decisive break below 0.9970 could amplify selling pressure, with the next support at 0.9730, the lowest level since November 2022.
EUR/USD: Daily Chart
