EUR /USD: bulls are sitting towards the weekly top, what next?

General overview: EUR/USD trades above 1.2100, hitting the highest level since Feb. 1 on broad US dollar. Heightened expectations for more US fiscal stimulus overshadow Eurozone’s vaccine delay. A continued rise in bond yields could play spoilsport. The pair bullish this time and leads buy signals in the market. The pair travels towards the north direction. The euro shows its strongest point and offers the buying opportunity in the market. The market creates positive volatility towards the buying side in the market. The market will get strong buying confirmation after getting support from 200 SMA levels at 1.2154.Pair gained strong positive traction on Tuesday and recovered further from two-month lows, around mid-1.1900s touched last week.

Technical analysis: From the technical point of view we can say that market create the buying position in the market. The bullish sentiments established in the market. The global risk sentiment remained well supported by the progress in corona virus vaccinations, which, along with prospects for a massive US fiscal spending plan, has been fueling hopes for a strong global economic recovery. On the 4 hourly charts we can see that market creates the buying signals but after reaching the strong support level 1.2157 the market will get more strong confirmation for buying. The market finds its breakout level at 1.1960 and creates the buying signals from the level. The RSI also supporting the price pattern as its travels above 50 level and creates buy signals as well as MACD also creates buy signals after reaching above zero line. The support of the level is 1.2042 followed 1.1992 and resistance level will be 1.2181 followed by 1.2242.

Trade idea: Our investors and traders sit on the buy above 1.2123 targets will be 1.2203-1.2243 and stop loss 1.2043.

 

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