EUR/USD: Momentum remains positive

EUR/USD has completed a 500-pip rally from the lows amid coronavirus fears. Friday's four-hour chart is pointing to overbought conditions. Yohay Elam, an analyst at FXStreet, reviews the pair from a technical perspective.

Key quotes

“The Relative Strength Index on the four-hour chart has topped 70 once again, indicating overbought conditions and implying a correction. Such a downward move would likely be temporary as EUR/USD is trading above the 50, 100, and 1200 Simple Moving Averages and momentum remains positive.” 

“Initial resistance awaits at the daily high of 1.1280, followed by 1.1320.”

“Support is at 1.1215, a swing high from earlier this week, followed by 1.1180.”