The EUR / USD rebounded around 1.3% from its annual low at 1.1235, set February 15, and would have room to climb a little higher if it can drill technical resistance at 1.1400. In this scenario, a move toward 1.1450 would be highly likely. If the quote is rejected by the ceiling at the psychological threshold of 1.1400, it is possible to witness a change in the trend towards support in the region of 1.1270 / 1.1245.
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CONTINUING OFFENSIVE EUROPE
Slowly but surely, the EUR / USD seems to have regained its upside in the last trading sessions. Since its annual low marked Feb. 15 at 1.1235, the pair rebounded around 150 pips and now threatens to hit the psychological threshold of 1.1400.
This technical level has to be monitored closely as it coincides with the Fibonacci setback of 50% of the 2019 price range. Its break would represent a clear positive sign for the Community currency and would trigger a move towards 1.1450 where is aligned with a short-term pessimistic orientation obtained from the September high of last year (red line).
Despite the EUR / USD recovery bias, it maintains a neutral profile and has little room to continue to climb steadily. Ultimately, any attempt to move forward in the medium-term horizon would be limited by the resistance area of 1.1485 / 1.1515. In the accompanying daily chart, it can be observed that this price area has slowed the bullish movements on several occasions since November 2018.
If the pair can not with the ceiling at 1.1400, this could be interpreted as a signal that the buyer's momentum is running out, in which case a possible downshift toward the support in the 1.1270 / 1.1245 region should not be ruled out .
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EUR / USD TECHNICAL GRAPHIC
TRAINING TOOLS FOR TRADERS
— Written by Diego Colman, market analyst at DailyFX in Spanish.