EUR/USD Price Analysis: Bears lack fuel, bulls need 1.1840 breakout

• EUR/USD remains reluctant to extend the south-run near multi-day low.
• Bullish chart pattern, gradually firming Momentum keep buyers hopeful.
• 100-SMA adds to upside filters, weekly falling trend line restricts immediate losses.

EUR/USD dropped to the fresh low since early April before portraying a short-covering move that extends to Wednesday’s Asian session.

By the press time, the major currency pair seesaws around 1.1780, staying inside a monthly falling wedge bullish chart pattern.

Considering the quote’s latest bounce off multi-day low, backed by a short-term support line and recovering Momentum, EUR/USD prices may witness further short-covering moves.

In doing so, the stated wedge’s upper line and 100-SMA, respectively around 1.1825 and 1.1840, become the key.

Following that, the corrective pullback may aim for late June’s top surrounding 1.1975 and the 1.2000 psychological magnet.

Alternatively, an immediate falling trend line support and the wedge’s lower line, close to 1.1760 and 1.1735 in that order, could challenge EUR/USD intraday sellers.

However, a clear downside past 1.1735 won’t hesitate in refreshing the yearly low surrounding the 1.1700 threshold.

EUR/USD: Four-hour chart

Trend: Corrective pullback expected