Annual Forecast for GBPUSD (2021): It May Continue Its Bullish Movement

EURUSD Price Analysis – December 21

The breakup of the $1.22 level will expose the price to $1.24 and $1.27 levels. The bullish momentum may extend to $1.31 in 2021. In case the bears interrupt the bullish momentum, the price may reverse and face the support level at $1.21, $1.17, and $1.16.

EUR/USD Market

Key Levels:

Resistance levels: : $1.22, $1.24, $1.27
Support levels$1.21, $1.17, $1.16

EURUSD Monthly Trend: Bullish

EURUSD is bullish on the long-term outlook. Last year (2019) was dominated by the bears and the bearish momentum dropped the price from the high of $1.24 to the low of $1.08. This year has been a better time for the bulls when the bears could not break down the support level of $1.08. The price increases from the low of just mentioned level with the formation of bullish engulfing candles. The resistance level of 1.12 was broken up and increases to the $1.21 level. The price pulled back and retests the support level of $1.15 in October. The price resumed its bullish movement in November and the price is testing the $1.22 level today.

A further price increase is envisaged in 2021 as the price is trading above the 9 periods EMA and the 21 periods EMA, the two EMAS separated to indicate a buy signal. The breakup of the $1.22 level will expose the price to $1.24 and $1.27 levels. The bullish momentum may extend to $1.31 in 2021. In case the bears interrupt the bullish momentum, the price may reverse and face the support level at $1.21, $1.17, and $1.16. The Relative Strength Index period 14 is at 70 levels with the signal line pointing up to indicate a buy.

EURUSD weekly Trend: Bullish

EURUSD is bullish in the weekly chart. The currency pair is under the bulls’ control in the weekly chart. The bulls’ pressure pushed up the price to test the support level of $1.18 in August. The just mentioned level holds and the price pulled back. The bulls gathered momentum and push the price to $1.22.

The price is trading above the 9 periods EMA and 21 periods EMA, the two EMAs are separated from each other as a sign of a strong trending market. EURUSD may increase to $1.31 in 2021.