EUR /USD: bulls showing potential rounding bottom pattern.

General overview: EUR/USD trades above 1.2168, EUR/USD advanced to four-week highs in Asia but is struggling to keep the bullish momentum going, 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 1.2110. Pair gained strong positive traction during this week. Covered further from two-month lows.

Technical analysis: From the technical point of view we can say that the market creates a buying position in the market. The bullish sentiments established in the market. The global risk sentiment remained well supported by the progress in coronavirus 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 1.2178 the market will get more strong confirmation for buying. pair creates the buying signals from the level. The RSI also supporting the price pattern as its travels above 50 levels and creates buy signals as well as MACD also creates buy signals after reaching above zero lines. The support of the level is 1.2120 followed 1.2070 and the resistance level will be 1.2220 followed by 1.2270.

Trade idea: Our traders sit on the buy above 1.2170 targets will be 1.2250-1.2290 and stop-loss 1.2090.

 

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