The EUR/USD fell below the key 1.0900 level in early Asian trading today, as the greenback strengthened on the back of a surge in US Treasury yields. Technical indicators suggest that the pair may face further downward pressure towards the 1.0800 level if it falls through support near the nine-day exponential moving average (EMA) at 1.0867, as well as other critical levels at 1.0850 and the 1.0842 Fibonacci retracement level.
On the other hand, some technical signals remain positive for the euro, as the Relative Strength Index (RSI) remains above its midpoint of 50, and the Moving Average Convergence Divergence (MACD) shows upward momentum. These factors point to a potential rally, with targets around the recent three-month highs near 1.0950, and possibly extending gains to test resistance at the substantial 1.1000 level.
