EUR/USD Price Analysis: Challenges support near 23.6% Fibo, approaches 1.1870

• EUR/USD remains vulnerable near the ascending trendline on the 4H chart.
• A potential breakout points to more downside towards the 23.6% Fibo. retracement.
• The receding momentum oscillator helps bears to take control of the price.

The EUR/USD pair flirts with daily lows near the 1.1885 region in early Europe. The pair failed in its efforts to crawl back above the 1.1900 key psychological mark.

At the time of writing, EUR/USD is trading at 1.1890, down 0.07% on the day.

EUR/USD: Four-hour chart

On the four-hourly chart, the EUR/USD pair has been taking support near the ascending trendline from the monthly lows of 1.1704.

The pair is on the verge of a deeper correction if it falls  below the 20-hour simple moving average (SMA), which would push the prices towards the 23.6% Fibo. retracement level near 1.1870. Next, the bears will keep their eyes on the 1.1840 level, a 38.2% Fibo. retracement zone.  

The receding Moving Average Convergence Divergence (MACD) momentous oscillator with a bearish crossover, is confirming a negative bias.

On moving below, the bears could confide near the 1.1820 horizontal support area. On the flip side, if prices move beyond the 1.1900 mark with conviction, then it would meet its first hurdle near the 1.1930 horizontal resistance zone.

Indicating reversal of the previous trend, the prices would love to kiss the 1.1950, a horizontal resistance level. Further north, the March 18 high at 1.1980, could be tested.

EUR/USD: Additional levels