• EUR/USD rises to 4-week highs just below the 1.0200 mark.
• Extra upside appears in store once that level is cleared.

EUR/USD adds to Friday’s advance and tests fresh peaks near 1.0200 at the beginning of the week, an area coincident with the 7-month resistance line.

The pair now needs to leave behind that resistance area to see its downside pressure alleviated and allow at the same time a visit to the interim 100-day SMA at 1.0338 prior to the more relevant August high at 1.0368 (August 10).

In the longer run, the pair’s bearish view is expected to prevail as long as it trades below the 200-day SMA at 1.0755.

EUR/USD daily chart