- EUR/USD picks up bids to consolidate recent losses around 15-month low.
- Bullish chart pattern confirmation eyed for further advances, MACD favor buyers.
- Sellers have a bumpy road to the south, 200-SMA adds to the upside filters.
EUR/USD picks up bids around 1.1555 during the early Asian session on Friday as bears take a breather.
The major currency dropped to the lowest since July 2020 on Wednesday but refrained from any strong moves afterward. However, it does stay inside a bullish chart pattern called a falling wedge.
Given the MACD conditions and the bullish chart pattern, buyers are likely to retake controls should they manage to confirm the formation with an upside break of 1.1590.
Following that, the 200-SMA surrounding 1.1745 will be the key hurdle to the north to watch for the EUR/USD bulls.
Meanwhile, pullback moves may challenge the stated bullish pattern’s support line, near 1.1515 by the press time.
In a case where the EUR/USD prices drop below 1.1515, the 1.1500 threshold and March 2020 peak close to 1.1495 will challenge the further weakness. Also questioning the bears past 1.1500 will be June 2020 peak of 1.1422.
Overall, EUR/USD braces to recover the latest losses but needs a strong push to the north.
EUR/USD: Four-hour chart
Trend: Corrective pullback expected
