EUR/USD: In the dead cat bounce zone

EUR/USD is confined to a range between 1.0780 to 1.0815 – the "dead cat bounce zone" while the Thursday's four-hour chart is pointing to further falls, FXStreet’s analyst Yohay Elam reports.

Key quotes

“EUR/USD is trading below the 50, 100, and 200 Simple Moving Averages on the four-hour chart, and momentum is to the downside. The Relative Strength Index has bounced off 30, thus exiting oversold conditions.”

“Below 1.0780, the next support line is April's trough at 1.0730.” 

“Above 1.0815, resistance awaits at 1.0860, which capped the currency pair in late April and it is also where the 100 SMA hits the price.”