EUR/USD: Looks Good for the Buyers; Is It Making a New High?

• EUR/USD has been bullish on the H4 chart.
• The pair trades above the simple moving average 30 upon finding its support.
• The H1 chart looks bullish, it may make a bearish correction.
• Intraday minor charts have been bullish on the New York session.

EUR/USD- Technical Analysis-H4 Chart

The chart shows that the price upon finding its support at 1.05300 produced a bullish engulfing candle. It then consolidated for a while. Consequently, it produced another bullish candle breaching the SMA 30’s resistance. As of writing, the pair trades above the SMA 30. Thus, the buyers may keep their eyes on the chart to go long in the pair. If the chart produces a bullish reversal pattern at the value areas, the price may head towards the North. It may find its resistance around 1.07000.

The sellers may have to wait for the chart to offer them short entries with lucrative risk-reward. The horizontal support looks very strong. Unless, the price makes a bearish breakout, the pair may not make a strong bearish move.

Price Action Analysis- H1 Chart

The chart shows that the price has been heading towards the North by obeying a trend line. It had multiple bounces at the trend line’s support. At the last bounce, it produced a hammer. Since then it has been heading towards the North. As of writing, the price seems to be having consolidation. The buyers may be waiting for the price to make  a breach at the consolidation’s resistance to go long in the pair. If that happens, the price may find its resistance around 1.06600.

On the contrary, if the price does not breach the consolidation’s resistance, but extend its correction, it may find its support at the trend line’s support. A bullish reversal pattern at the trend line’s support may attract more buyers to go long in the pair.

Written by: Md Tareq Sikder, Senior Analyst Forex Prop News

Contact and follow Tareq on Twitter: @tareqfpn