Key Highlights
- EUR/USD is holding the key 1.0880 support zone.
- A key rising channel is forming with support at 1.0935 on the 4-hour chart.
- GBP/USD is consolidating gains near the 1.2750 level.
- Gold prices could gain pace if it clears the $2,060 resistance level.
EUR/USD Technical Analysis
The Euro started a fresh decline from the 1.1140 level against the US Dollar. EUR/USD even declined below the 1.0950 level to move into a bearish zone.
Looking at the 4-hour chart, the pair settled below the 100 simple moving average (red, 4 hours). However, the bulls were active above the 1.0880 support and the 200 simple moving average (green, 4 hours).
A low was formed near 1.0878 and the pair is now attempting a recovery wave. There was a move above the 1.0950 level. There is also a key rising channel forming with support at 1.0935 on the same chart.
On the upside, immediate resistance is near the 1.0000 level. The next key resistance is near the 1.1040 level. A close above the 1.1040 zone could open the doors for more upsides. The next stop for the bulls might be 1.1120.
If there is a fresh decline, the pair might test the 1.0935 support. The next major support sits at 1.0900. A downside break below the 1.0900 zone could spark a sustained decline. The next major support is 1.0880, below which the pair might decline and test 1.0835.
Looking at Gold, the bulls gained strength and they might now attempt a move above the $2,060 resistance zone.
Economic Releases
- Euro Zone Industrial Production for Nov 2023 (MoM) – Forecast -5.9%, versus -6.6% previous.
