EURUSD is easing from last week’s the nine-month high of 1.0930, remaining within the upward sloping channel and well above the short-term simple moving averages (SMAs).
Technically, the MACD oscillator is falling beneath its trigger line in the bullish region, while the RSI is flattening beneath the 70 level, suggesting the momentum is weakening.
Further losses should see the 20-day SMA at 1.0780 acting as a major support ahead of the 1.0740 support level and the lower boundary of the channel at 1.0680. A drop below the 50-day SMA at 1.0630 would reinforce the bearish structure in the medium term and open the way towards the next key support level of 1.0480, changing the outlook to neutral.
In the event of an upside reversal, the previous peak of 1.0930 could act as a barrier before being able to re-challenge the 1.1000 round number. A break above this level would endorse the bullish structure, meeting the 1.1180 barrier, registered in March 2022.
Summarizing, EURUSD is still in a positive mode and only a decline beneath the channel may switch the view to neutral.
