Anna 
The EUR/USD pair maintains its firm stance, trading around 1.0785 during the early European session, marking the fourth consecutive day of relative strength. The primary driver behind the pair’s resilience is the weakening of the US Dollar (USD).
European Central Bank (ECB) policymakers have noted that Eurozone inflation is gradually approaching the 2% target. However, a cautious approach prevails, indicating the need for additional data before considering rate cuts. Market participants are eagerly awaiting insights from the upcoming FOMC Minutes and Eurozone data, including the PMI and CPI inflation report, to gain a clearer understanding of the inflationary trajectory.
From a technical perspective, EUR/USD retains a bearish undertone, as the pair remains below the key 100-period Exponential Moving Averages (EMA) on the four-hour chart. However, the Relative Strength Index (RSI) suggests potential buyer control in the short term, having moved above the 50-midline.
A notable resistance zone is anticipated around the confluence of the 100-period EMA, the upper boundary of the Bollinger Band, and the psychological level at 1.0790–1.0800. A decisive breakthrough could open the door towards the January 26 high at 1.0885, with an additional upside filter at the psychological round mark of 1.0900.
Conversely, initial support is identified near the February 5 low of 1.0723, while a crucial support level lies around the round figure, the February 13 low, and the lower limit of the Bollinger Band at 1.0700. Further downside momentum, if realized, could lead to a decline to the November 9 low at 1.0660. Traders will be closely monitoring these key levels for potential shifts in market dynamics.
