EUR/USD: Healthy RSI to recover the 1.18 level

EUR/USD is currently trading around 1.1755, down -0.17% on the day, after having hit a low of 1.1740 during the Asian trading hours. Nonetheless, the cross is on a strong-footing as Monday's 4-hour chart shows that the currency pair exited overbought conditions.

Key quotes

“The Relative Strength Index on the 4-hour chart has fallen well below 70 – exiting overbought conditions and allowing for more gains. EUR/USD continues trading above the 50, 100, and 200 Simple Moving Averages and momentum remains positive.” 

“Immediate resistance is at 1.1780, a temporary high in late July. It is followed by 1.1805, which played a similar role. The 1.1850 peak dates to 1.1850 and the last line to watch are 1.1909 – the fresh high.”

“Support is at 1.1740, the daily low. It is followed by 1.17 which provided support last week. Further down, 1.1625 and 1.1540 are eyed.”