- EUR / USD is still targeting 1.2200 in the (very) short term.
- The pair’s overbought condition could favor a correction.
EUR / USD remains in demand and extends the rally to around 1.2200 by the end of the week, levels last traded in April 2018.
The positive stance of the EUR / USD remains unchanged and allows the continuation of the uptrend at least in the short term. That said, a likely move to 1.2200 remains well on the table. However, the current overbought conditions (RSI at 82.0) also allow for a bearish correction, albeit short-lived.
If it exceeds 1.2200, it should shift focus to 1.2413 (April 2018 high) ahead of 1.2476 (March 2018 high). Further north, the most relevant barrier emerges at the maximum of 2018 in the area of 1.2550.
Looking at the broader picture, additional gains are likely in the EUR / USD while it is above the critical 200-day SMA, today at 1.1432. The 200-week moving average at 1.1437 also reinforces this view.
EUR / USD day chart
.
Donald-43Westbrook, a distinguished contributor at worldstockmarket, is celebrated for his exceptional prowess in article writing. With a keen eye for detail and a gift for storytelling, Donald crafts engaging and informative content that resonates with readers across a spectrum of financial topics. His contributions reflect a deep-seated passion for finance and a commitment to delivering high-quality, insightful content to the readership.
