EUR/USD trades in positive territory around 1.0880 in Tuesday’s early European session.
The negative outlook of the pair prevails below the 100-day EMA and bearish RSI indicator.
The immediate resistance level emerges at 1.0931; the first downside target is seen at 1.0800.
The EUR/USD pair remains firmer near 1.0880 during the early European session on Tuesday. The uncertainty surrounding the US presidential election outcome weighs on the Greenback and provides some support to the pair.
“A Republican clean sweep can send the dollar higher, but probably by less than how much a Harris win could hit USD. The dollar might not rally at all if Trump wins but Democrats secure the (U.S. House of Representatives),” noted ING Bank analysts.
Technically, the EUR/USD pair keeps the bearish vibe on the daily chart as the major pair holds below the key 100-day Exponential Moving Averages (EMA). Additionally, the downward momentum is supported by the Relative Strength Index (RSI), which stands below the midline near 47.25, suggesting that the path of least resistance is to the downside.
The 1.0800 psychological level acts as an initial support level for EUR/USD. Further south, the next contention level is seen at the 1.0770-1.0760 region, representing the low of October 24 and the lower limit of the Bollinger Band. A breach of the mentioned level could expose 1.0666, the low of June 26.
On the bright side, the first upside barrier for the major pair emerges near 1.0931, the 100-day EMA. The additional upside filter to watch is 1.0951, the upper boundary of the Bollinger Band. The crucial resistance level is located at the 1.1000 round mark.
EUR/USD daily chart
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