EUR/USD: The picture is balanced awaiting the ECB

EUR/USD advanced and settled above 1.18 ahead of the European Central Bank (ECB) decision. Meanwhile, Thursday's 4-hour chart is pointing to a fierce battle between bulls and bears, Yohay Elam, an analyst at FXStreet, reports.

Key quotes

“EUR/USD has recaptured the uptrend support line, a bullish sign. On the other hand, the currency pair failed to overcome the 200 Simple Moving Average on the 4-hour chart. Momentum has all but disappeared and the Relative Strength Index is stable.” 

“Some resistance awaits at 1.1835, which capped EUR/USD in recent days. It is followed by 1.1880, a cap from last week. The next levels to watch are 1.1885 and 1.1925.” 

“Support awaits at 1.1780, a cushion from last week, followed by 1.1750, a double-bottom. The next levels to watch are 1.17 and 1.1625.”