The EUR/USD pair is currently hovering near the 1.13 mark on Monday, rebounding strongly during intraday trading as the market gains momentum following the European session. However, the overall technical outlook is somewhat mixed, showing conflicting signals across different timeframes. While short-term indicators suggest possible pullbacks, the longer-term trend remains firmly bullish, creating a cautiously optimistic atmosphere for the pair.
The daily technical setup presents a complex, yet mostly positive, picture. The Relative Strength Index (RSI) is currently in the neutral 50s range, indicating a balanced momentum, while the Moving Average Convergence Divergence (MACD) still indicates selling pressure and potential consolidation in the short-term. However, the Average Directional Index (14) also supports buying pressure, suggesting that the pair may continue to hold on to its recent gains. The Williams Percent Range (14) and the Commodity Channel Index (20) both indicate a neutral momentum, further reinforcing a cautious tone.
Moving averages show a more supportive long-term perspective. The 10-day Exponential Moving Average (EMA) and the 10-day Simple Moving Average (SMA) confirm the current bullish sentiment, while the 100-day and 200-day SMAs also validate the broader upward trend. However, the 20-day SMA remains in the selling territory, potentially acting as a barrier to the pair’s recovery.
Looking at the 4-hour timeframe, the outlook remains strongly bullish. The 4-hour MACD signals positive momentum, aligned with the broader daily trend, while the shorter-term 10 and 20-period EMAs and SMAs also suggest sustained buying interest. On the other hand, the Relative Strength Index (RSI) and Average Directional Index (ADI) on the 4-hour chart show a neutral stance, reflecting the current consolidation phase after the sharp upward movement.
Immediate support for the pair is expected around 1.1230, with additional levels at 1.1220 and 1.1217. On the upside, resistance is likely to emerge around 1.1280, closely followed by 1.1282 and 1.1284. Broader Fibonacci levels show deeper support in the range of 1.0400 to 1.0900, while resistance extends towards 1.1500, 1.1700, and 1.2000, providing a wider context for potential breakout scenarios.