Key Highlights
- EUR/USD started a fresh increase from the 1.0530 support zone.
- It seems to be trading in a range with a major resistance near 1.0750.
- Bitcoin price rallied further and broke the $28,000 resistance.
- Gold price also gained pace and traded close to the $2,000 mark.
EUR/USD Technical Analysis
The Euro started a fresh recovery wave after it found support near 1.0530 against the US Dollar. EUR/USD is rising, but it is facing many hurdles.
Looking at the 4-hours chart, the pair was able to recover above the 1.0600 resistance zone and the 100 simple moving average (red, 4-hours). There was a move above the 50% Fib retracement level of the downward move from the 1.0759 swing high to 1.0516 low.
It is now trading near the 1.0680 zone and the 200 simple moving average (green, 4-hours). On the upside, an immediate resistance is near the 1.0700 level.
The 76.4% Fib retracement level of the downward move from the 1.0759 swing high to 1.0516 low is also near 1.0700. The next major resistance is near the 1.0750.
A clear move above the 1.0750 resistance might start another increase towards the 1.0880 zone. Any more gains might send the pair towards 1.0950.
On the downside, an immediate support is near the 1.0640. The next major support is near the 1.0620 level, below which there is a risk of a move towards the 1.0530 level.
Looking at bitcoin price, there was a sharp increase and the bulls were able to push the price above the $28,000 resistance zone.
Economic Releases
- Euro Zone Trade Balance for Jan 2023 – Forecast €-14.0B versus €-18.1B previous.
