EUR/USD is presently valued at $1.08814, reflecting a modest gain of 0.10% for the day.

The 4-hour trading chart identifies a pivotal point at $1.0905, which is critical for forecasting the pair’s short-term movements. Resistance levels are pinpointed at $1.0895, followed by $1.0913 and $1.0932, while support levels are found at $1.0854, with additional support at $1.0836 and $1.0816.

Monetary Policy Speakers Take the Stage

Today, a quintet of Federal Reserve officials, including Bostic, Barr, Waller, Jefferson, and Mester, are scheduled to address the public. Their insights could provide further clarity on the U.S. monetary policy stance.

The Relative Strength Index (RSI) currently stands at 60, indicating a neutral position with a slight inclination towards bullishness. The 50-day Exponential Moving Average (EMA) is set at $1.0852, underscoring a bullish sentiment as it acts as dynamic support.

The price trajectory suggests that the upward trend may persist as long as EUR/USD stays above this average.

Upcoming Eurozone PMI Data

Attention turns to the preliminary May PMI data from the Eurozone, expected on Thursday. This indicator will provide valuable insights into the region’s economic health and could influence the euro’s strength.

Traders are advised to monitor the $1.0905 pivot point closely. A breach above this level could drive the EUR/USD toward the immediate resistance at $1.0895 and possibly extend gains to $1.0913 and $1.0932.

Should the pair fail to maintain its position above this pivot, a pullback to $1.0854 and potentially to $1.0836 and $1.0816 could occur.

Market Sentiment Leans Optimistic: The market sentiment is cautiously optimistic, suggesting a potential for further appreciation of the euro.

The RSI value, currently at 60, reveals potential for additional upward movement before the market becomes overbought. The 50 EMA provides strong support, indicating the resilience of the current bullish trend.