EURUSD – bulls crack key Fibo barrier

The Euro keeps firm tone and cracked key Fibo barrier at 1.1232 (61.8% of 1.2266/0.9535 downtrend), signaling further advance.

Strong bullish signal was generated on break of 200WMA (1.1181) and probe through 1.1232 pivot, which will require confirmation on sustained break of the latter, to also validate positive signal on break above the range of past six months (1.05/1.10).

Bulls also need to clear nearby 100MMA (1.1254) to open way for extension towards a lower platform at 1.1490 zone (Jan-Feb 2022).

Technical picture on daily chart is firmly bullish but studies are stretched (overbought stochastic and RSI / price moved above upper 20-d Bollinger band) suggesting that bulls may take a breather soon, after rallying around 3.5% in past seven days (bull-leg from 1.0840 higher base of late Jun-early July).

Former annual high at 1.1095 reverted to solid support, which should contain dips and keep fresh bulls intact for continuation of larger uptrend from 0.9535 (2022 low).

Res: 1.1254; 1.1271; 1.1325; 1.1380
Sup: 1.1181; 1.1119; 1.1095; 1.1012