Forecast of EUR/USD for 20 November

EUR/USD has recovered sharply back into the positive territory and pushed towards fresh highs around 1.1880 in recent trade. The EUR/USD pair is rising back towards 1.1890 after a brief test of 1.1820.

EUR/USD's upside attempts faced a pause at the trendline hurdle on the 1-hour chart. EUR/USD was extending its consolidation mode in the Asia session, trading in the 1.1820-1.1890 range. The pair is well on its way back towards the upper limits of this range, given that it is now trading at the 1.1880s.

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Nevertheless, the trendline resistance and a critical barrier at 1.1890 remains a tough level to crack for the buyers so far this Friday. The downward turn in the hourly Relative Strength Index (RSI), currently at 65+, suggests that the bulls are likely to face a challenge surpassing the hurdle. Acceptance above that level could see a test of the 1.1900 level.

If EUR/USD continues to gain ground in the ongoing mode, it looks likely to come into play as resistance just below the 1.1900 mark, as highs of the week and the top of EUR/USD's current range in the 1.1890s. If the bears manage to regain control and push the price back towards the low of 1.1820 again, the bottom of the range will offer support.

The material has been provided by InstaForex Company - www.instaforex.com