EUR/USD Price Analysis: Bulls need validation from 1.0650 and US NFP to keep control
- EUR/USD remains on the front foot for the second consecutive day as buyers attack 100-HMA.
- Overbought RSI conditions, 200-HMA challenge recovery from multi-day low.
- Confirmed break of ascending triangle, multiple tops near 1.0690 push back buyers.
EUR/USD bulls attack the 100-Hour Moving Average (HMA) surrounding 1.0600 as they keep the reins during the second consecutive day on early Friday, waiting for the US employment report for February, as well as a speech from European Central Bank (ECB) President Christine Lagarde.
Not only the 100-HMA but the overbought conditions of the RSI line, placed at 14, also challenge the EUR/USD buyers ahead of the top-tier data/events.
Even if the quote surpasses the 1.0600 hurdle, the 200-HMA level surrounding 1.0610 can act as an extra filter towards the north.
Above all, the EUR/USD bears keep the reins unless the quote stays below the lower line of a one-week-old ascending triangle, the previous support surrounding 1.0650.
Following that, multiple tops marked near 1.0690-95, as well as the 1.0700 threshold, should gain the buyer’s attention.
On the contrary, the month-start bottom of around 1.0565 precedes the latest February swing low and the recent trough, respectively near 1.0530 and 1.0520, to challenge the EUR/USD bears.
It should be observed that the pair’s sustained trading below the 1.0520 mark will need validation from the 1.0500 round figure to convince the EUR/USD sellers.
Talking about fundamentals, the inflation woes and Fed Chair Jerome Powell’s hawkish testimony seems to keep the EUR/USD sellers hopeful but the confirmation from today’s US Nonfarm Payrolls (NFP) becomes necessary.
EUR/USD: Hourly chart
Trend: Pullback expected