EUR/USD Technical Analysis: Bounce Potential Above 1.1135

EUR/USD Technical Overview

The EUR/USD pair is currently trading around 1.1142, remaining under downward pressure below the -1/8 Murray level and the 21-period simple moving average (SMA) on the four-hour (H4) chart. Despite recent weakness, technical chart patterns indicate potential support near the 1.1108 level.

Would you like to read more market analysis about EUR/USD, Trading, and Signals?

Price action remains confined within primary and secondary downtrend channels, with the currency pair recently testing the lower band of the primary channel. A technical bounce is expected in the near term provided the price consolidates above 1.1135.

Key Upside Targets and Resistance Levels

Recover from drawdowns intelligently with the Auto Recovery Expert Advisor for MT4/MT5. Learn more.

If the euro rebounds and consolidates above 1.1138, a short-term buy setup could trigger upside targets at 1.1197 and 1.1203, positioned near the upper boundary of the downtrend channel.

A decisive breakout above both the 21 SMA and the secondary downtrend channel would reinforce positive sentiment. Such a move could clear the path toward 1.1230, near the Murray 0/8 level, with extended bullish momentum potentially reaching 1.1302.

Technical Indicators and Market Bias

The Eagle indicator maintains a negative signal, reflecting the underlying bearish trend. However, given that price action is testing key support zones, a temporary rebound toward 1.1200 or 1.1230 could offer a signal for traders to resume selling positions in line with the broader downtrend.

Combine these insights with powerful automation. Discover RobotFX products and take your trading to the next level.