- EUR/USD declines to 1.0430 on Wednesday, marking its third consecutive each day loss.
- The pair has already shed greater than 0.50% over the course of the week.
- RSI drops to 53, signaling fading bullish momentum, whereas MACD histogram exhibits lowering inexperienced bars.
The EUR/USD pair continued to drag again on Wednesday, shedding one other 0.17% to commerce round 1.0430. This marks its third straight day within the purple, erasing over 0.50% of final week’s features when the pair surged greater than 1.50%. Regardless of the continuing correction, the broader technical outlook stays constructive so long as the pair stays above the 20-day Easy Shifting Common (SMA).
Momentum indicators mirror a shift in sentiment. The Relative Power Index (RSI) declined sharply to 53, staying in optimistic territory however signaling waning shopping for stress. In the meantime, the Shifting Common Convergence Divergence (MACD) histogram prints lowering inexperienced bars, hinting that bullish momentum is shedding traction. Nevertheless, so long as EUR/USD stays above the 20-day SMA, patrons should have room to regain management.
From a broader perspective, the 100-day and 20-day SMAs are converging close to 1.0450, elevating issues a few potential bearish crossover. If this materializes, it might verify that the latest rally was merely a short lived correction, shifting the long-term outlook again to the draw back. For now, merchants will control whether or not the pair can keep help above the 20-day SMA or if additional draw back stress will set off a deeper pullback.
EUR/USD each day chart
