- The EUR/USD was observed by quoting around the 1,0850 area after the European session, correcting down after a strong recovery.
- The overcompra conditions led to a setback, with the pair possibly consolidating between 1,0800-1,0850 before resuming their upward trend.
The EUR/USD backed away after reaching new maximums, quoting near the 1,0850 zone on Thursday after the European session. After a strong upward movement, buyers seem to be taking a break, allowing the pair to cool and digest recent profits. This setback occurs while the operators evaluate whether the next movement is imminent or if greater consolidation is needed.
From a technical point of view, the relative force index (RSI) has retreated sharply but remains close to overcompra levels, suggesting that recent correction is part of a broader consolidation instead of a trend reversion. Meanwhile, the histogram of the convergence/divergence of mobile socks (MACD) is printing flat green bars, noting that the bullish impulse has stagnated but is not yet reversing.
The key support zone is between 1,0800 and 1,0850, where buyers could re -enter to defend the upward trend. On the positive side, the resistance is around 1,0900, with a break above that could rekindle the bullish impulse. If the torque remains within the current range, consolidation could continue before another attempt to reach higher levels.
EUR/USD daily graphics
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
