EURUSD is tackling the 1.2112 high after thrusting above the flattening 100-day simple moving average (SMA), which was recently capping gains of the pair’s rally off 1.1703. The 100- and 200-day SMAs are still sponsoring the bullish picture, while the negative bearing of the 50-day SMA has somewhat subsided, giving additional credence to the recent price ascent.

The Ichimoku lines are reflecting growing positive momentum, as are the short-term oscillators, which are skewed more to the upside. The MACD, in the positive region, is strengthening above its red trigger line, while the RSI is battling the overbought level of 70. The stochastic oscillator has regained its positive charge and is promoting the pairs’ latest push over the Ichimoku cloud.

If the rally endures, preliminary resistance may continue to emanate from the immediate barrier at 1.2112. Successfully overcoming this, the bulls could then target the resistance band of 1.2222-1.2242, formed over January-February. Should the improving outlook mature further, the pair may propel upwards for a revisit of the 32½-month peak of 1.2349.

Otherwise, if selling interest intensifies, bearish limitations may commence from the 100-day SMA at 1.2047 and the red Tenkan-sen line beneath, ahead of a support section from 1.2000 until 1.1942. Additional downside defences may then transpire from the adjacent 200-day SMA at 1.1933 and the blue Kijun-sen line at 1.1909. If sellers manage to sink past this buffer zone - surrounded by the 100- and 200-day SMAs - the pair could then meet the 1.1860 border.

Concluding, EURUSD has reclaimed a neutral-to-bullish tone above the cloud. The question is how long will the pair be able to withstand growing negative pressures? For a more profound price direction to evolve, the price would need to break above 1.2242 or below 1.1703.