EURUSD had a positive start on Thursday, with the price remaining below the crucial level at 1.2180. The pair has also increased distance below its three-and-a-half-month high of 1.2245.
Momentum signals are bearish as the RSI has reversed lower after failing to break above its 70 mark on Wednesday. Yet the latter is ready to enter the negative territory, while the MACD tumbled beneath its trigger line in the positive region.
Should the price extend declines, the 40-period simple moving average (SMA) at 1.2145 could be of notable significance. Below that, the focus could shift straight to the uptrend line near 1.2120. If the latter permits for further weakness, the next stop could be around 1.2065, signaling more negative pressures.
On the other hand, a recovery could retest the 1.2240 key mark before attention turns to the 1.2287 barrier, registered in January 2021. Moving higher, the 1.2350 barrier could attract attention as well.
Overall, EURUSD holds a bearish profile in the short-term and a bullish outlook in the medium-term.
Origin: XM
