Motoring on the bullish highway
The EURUSD has squeezed higher and in the process has moved into the open road on the bullish highway. Looking at the daily chart, the price is taking on the spike higher from March which ultimately took the price up to a high of 1.14918. What other levels are in the way as targets?
After breaking above the 1.1238 – 48 area, the pair has raced up to another old swing area defined by swing highs and lows going back to April 2019 (see red numbered circles). That area comes between 1.1322 and 1.1347. The price just moved up to test the upper end of that range as the market continues to squeeze.
A break above puts the pair and more open road with 1.14117 (swing hi from June 2019) as the next upside target above that the high from March at 1.14918 will be eyed on the bullish highway.
Taking a broader look at the weekly chart, the EURUSD run higher has taken the price back above its 200 week moving average. I have that moving average currently at 1.1330 (Bloomberg has it at 1.1334). That is significant if the price can remain above that level. The 38.2% retracement of the move down from the 2018 high comes in at 1.13694. That is also a upside target on further momentum in the trading day today.