EUR/USD is in a bear market below the 100-period simple moving average in the 1-hour chart. As of this writing, the currency pair trades at approximately $1.04, testing the 23.6% Fibonacci retracement level as resistance.
EURUSD Technical Analysis – 20-December-2024
As for the technical indicators, the Stochastic Oscillator shows 88, indicating an overbought market. This means the euro is overbought in the short term and might dip against the Greenback again.
Immediate support is at $1.038. From a technical perspective, a new bearish wave could begin if EUR/USD bears push prices below $1.038. In this scenario, the next bearish target could be retesting the $1.034 mark.
Please note that the bear market should be invalidated if EUR/USD exceeds $1.042.