• EUR/USD may rise toward a two-month high of 1.1804 amid prevailing bullish bias.
• The 14-day Relative Strength Index at 62.11 signals strong bullish momentum without overbought conditions.
• The pair tests immediate support at the nine-day EMA of 1.1713.

EUR/USD remains weaker for the fourth consecutive session, trading around 1.1720 during the Asian hours on Friday. On the daily chart, technical analysis indicates a prevailing bullish bias, as the pair remains within the ascending channel pattern. Additionally, the 14-day Relative Strength Index (RSI) stands at 62.11, signaling firm positive momentum without overbought pressure.

The EUR/USD pair holds above the ascending nine- and 50-day Exponential Moving Averages (EMAs), maintaining a bullish bias. Upside prospects stay intact as long as price holds above the EMAs. The short-term average remains above the medium-term gauge, underscoring trend strength.

The EUR/USD pair may rebound toward the two-month high of 1.1804, reached on December 16. A daily close above the primary barrier could extend gains toward the upper boundary of the ascending channel around 1.1850. A break above the channel would support the pair to explore the region around 1.1918, the highest since June 2021.

Further declines could be contained toward the nine-day EMA at 1.1713, followed by the lower ascending channel boundary around 1.1700. A break below this support area would weaken the short-term price momentum and put downward pressure on the EUR/USD pair to test the 50-day EMA at 1.1644, followed by the three-week low of 1.1589, which was recorded on December 1.

(The technical analysis of this story was written with the help of an AI tool.)