Anna 
EUR/USD made efforts to extend gains for a second consecutive session in Asia, hovering around 1.0920. The upcoming release of the Eurozone’s Harmonized Index of Consumer Prices (HICP) data is anticipated to show a flat trend across all indicators. A benign outlook for euro zone inflation could contribute to EUR/USD maintaining stability.
Despite the flat inflation expectations, technical indicators for EUR/USD suggest a bullish trend. The 14-day Relative Strength Index (RSI) remains above the 50-mark, indicating positive market sentiment and the potential for a retest of psychological resistance at the 1.1000 level, followed by the two-month high at 1.1017.
Moreover, the overall positive momentum is reinforced by the Moving Average Convergence Divergence (MACD) indicator, where the MACD line is positioned above its midline and signal line. As a lagging indicator, the MACD signals confirmation of a potential uptrend.
The current bullish sentiment, supported by the MACD indicator, may enhance EUR/USD’s prospects for breaking above the current resistance and targeting the key 1.1050 level.
On the downside, psychological support at 1.0900 holds significance, followed by the seven-day exponential moving average (EMA) at 1.0893 and the 23.6% Fibonacci retracement at 1.0884.
A clear breakdown below these levels could intensify bearish pressure on EUR/USD, raising the possibility of a decline toward the psychological zone around the 38.2% Fibonacci level of 1.0801.
