Search ForexCrunch
  • EUR/USD fails to gather serious upside traction above 1.2100.
  • The 50-day SMA near 1.2100 reinforces the contention area.

EUR/USD trades on a choppy fashion above 1.2100 the figure on turnaround Tuesday.

Further upside has so far met a decent hurdle at the 1.2150 zone, coincident with the 10-day SMA. The resumption of the downtrend remains likely of spot does not clear this area in the near term.

In that case, a break below recent lows in the 1.2100/1.2090 band could pave the way for extra losses in the short-term horizon. So far, the 50-day SMA just below 1.2100 also reinforces this support zone.

On the broader view, the constructive stance on EUR/USD is forecast to remain intact as long as it trades above the 200-day SMA, today at 1.1988.

EUR/USD daily chart