EUR/USD Price Analysis: Better bid in Asia, 1.19 is key resistance
- EUR/USD has failed twice in the last week to keep gains above 1.19.
- The pair looks overbought as per key indicators.
EUR/USD is trading near 1.1880 at press time, representing 0.16% gains on the day.
The pair failed to establish a secure foothold above the 1.19 mark on Thursday, having failed to close above that level on July 31.
As such, 1.19 is the key resistance. A sustained move past that hurdle is needed to restore the bullish bias and open the doors to 1.2042 (July 2012 low).
Alternatively, another rejection above 1.19 could cause some buyers to exit the market and yield a notable pullback. Take note that the relative strength index on the daily and 4-hour charts is reporting overbought conditions with an above-50 print. As a result, a correction cannot be ruled out.
On the downside, the higher low of 1.1696 created on Aug. 3 is the level to beat for the bears.
Daily chart
Trend: Bullish above 1.19