Key Highlights
The EUR/USD began a rally above the 1.0650 resistance level.
On the 4-hour chart, the pair broke a key contracting triangle with resistance at 1.0665.
EUR/USD Technical Analysis
On the 4 hour chart, the pair has breached a key contracting triangle with resistance at 1.0665. It even managed to hold above the 1.0700 level, the 100 simple moving average (red, 4 hour) and the 200 simple moving average (green, 4 hour).
Finally, it tested resistance at 1.0750. If the bulls remain in action, there could be more upside towards the 1.0800 level. Any further gains could send it towards the 1.0880 level.
If there is a downward correction, the pair may find bids near the 1.0700 level. The first major support is now forming near the 1.0665 level, below which the pair may test the 1.0635 pivot level in the near future.
Major support is located near the 1.0580 level and the 100 simple moving average (red, 4 hours). A break below the 1.0580 level could trigger a sharp decline. The next major support level is 1.0500.
