EURUSD has been trading within a consolidation area of 1.1611-1.1960 over the last four months, remaining above the Ichimoku cloud and the short-term simple moving averages (SMAs) the last five days.
According to the technical indicators, the RSI is moving sideways in the positive area and the MACD is standing above its trigger and zero lines with weak momentum.
Immediate resistance could come from the 1.1915 barrier, tested several times in the past. Driving the market higher, the 1.1960 hurdle could attract traders’ attention before hitting the 29-month high of 1.2009 and penetrating the trading range to the upside. Above this line, the neutral outlook could turn to bullish.
Alternatively, a downside movement beneath the SMAs and the cloud could send the price towards the 23.6% Fibonacci retracement level of the up leg from 1.0635 to 1.2009 at 1.1687. Slightly below this level, 1.1611 is coming next ahead of a downside reversal until the 38.2% Fibonacci of 1.1495.
Concluding, EURUSD has not yet been able to improve its long-term bullish structure and only a jump above the 1.2009 obstacle could endorse the outlook back to positive.
