EUR/USD is stretching higher toward 1.0750, as bulls ignore dismal revisions to the Eurozone GDP and jobs data. The pair is benefiting from the ongoing decline in the US Dollar, despite positive US Treasury bond yields and tepid risk sentiment. Focus shifts to the US data.
The Relative Strength Index (RSI) indicator on the four-hour chart rose above 50 and EUR/USD closed the last four-hour candle above the 20-period and the 50-period Simple Moving Averages (SMA), reflecting the bullish tilt.
Nevertheless, EUR/USD is likely to face stiff resistance at 1.0745/50, where the 10-period SMA and the Fibonacci 23.6% retracement of the latest downtrend align. Above that level, 1.0770 (static level) could be seen as interim resistance ahead of 1.0800 (Fibonacci 38.2% retracement, psychological level).
On the downside, 1.0700 (20-period SMA, 50-period SMA) forms first support before 1.0670 (upper-limit of the descending regression channel) and 1.0650 (end-point of the latest downtrend).
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