July 29, 2022 12:38 AM ET
By: AnalysisWatch
Early Friday morning in Europe, EUR/USD buyers were struggling with the 21-day EMA amid widespread weakness in the US dollar. In addition to the key moving average, cautious sentiment ahead of the Eurozone Consumer Price Index (CPI) and the US Core Personal Consumption Expenditure (PCE) is also challenging the pair's upside around the 1.0230 resistance.
However, it is worth noting that the recent rise in the RSI (14), which is not oversold, joins the bullish signals from the MACD to support the price recovery, which in turn makes the bulls hopeful.
That said, an upside price break above 1.0230 could steer buyers towards a downward resistance line from early June at 1.0310.
Following that, an area at 1.0380 with several levels marked since May will be crucial for EUR/USD buyers.
On the other hand, a two-week horizontal support zone at 1.0115-25 limits the pair's immediate downtrend ahead of the 61.8% Fibonacci expansion (FE) of the March-March moves near 0.9950.
It should be noted that the parity level of 1.0000 and the December 2002 low of 0.9860 filter to the south.