EUR/USD Price Analysis for 24 December

EUR/USD eases from highs, clinging onto the 1.2200 level. The bulls ride the Brexit optimism wave, with a potential breakthrough likely to be announced. The optimism is the key driver behind the US dollar's decline so far this Thursday.

From a technical perspective, the pair, so far, has managed to defend the weekly trend-line support, currently near the 1.2170 region. This is closely followed by 1.2130 which coincides with Monday's panic lows and should now act as a key pivotal point for short-term traders. A convincing break below will be seen as the first sign of bullish exhaustion and turn the pair vulnerable. Some follow-through selling below the 1.2100 mark and accelerate the fall further towards challenging the key 1.2000 psychological mark.

On the flip side, the 1.2200 round-figure mark now seems to act as immediate resistance, above which the pair is likely to climb back to the 2020 High (1.2270) . Bulls might then wait for a sustained strength beyond the 1.2280 region, before positioning for any further gains to push the pair to the 1.2300 and next hurdle near the 1.2340 region.