EUR/USD Outlook: Bulls Could Extend Towards Key Fibo Barrier at 1.1822 on Clear Break of 1.1600 Zone

Technical analysis of Forex market

The Euro cracked important barriers at 1.1595/1.1600 (50% of 1.2555/1.0635 / round-figure) on Wednesday, as bulls accelerated and extend into fourth straight day.

Rally is currently taking a breather and consolidating on overbought hourly / 4hr studies before final break higher.

Bulls look for firm break above 1.1600 zone that would spark acceleration towards next target at 1.1822 (Fibo 61.8% of 1.2555/1.0635) as there are no obstacles en-route.

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North-heading indicators on larger timeframes (day / week / month) confirm strong upside momentum that underpins the rally, driven by steep fall of US dollar.

Dips were so far very shallow and staying well above session low (1.1506) which guards more significant supports at 1.1473 (5DMA) and 1.1422 (former high of 10 June).

Res: 1.1601; 1.1676; 1.1700; 1.1776
Sup: 1.1556; 1.1545; 1.1506; 1.1473