Technical analysis: EUR/USD pinned below 1.0860 in thin Monday churn

EUR/USD remains capped below 1.0860 on Monday, but near-term higher lows are keeping the pair bolstered into the high end. A heavy supply zone from 1.0800 to 1.0820 remains on the intraday charts, and 1.0880 represents the near-term technical ceiling.

Despite a thin bullish buildout that sees very little topside momentum, EUR/USD has closed in the green for eight consecutive trading days and is on pace to chalk in a ninth. Of the last 14 trading days, only two have managed to close in the red.

Significant technical pressure is squeezing the pair into the midrange at the 200-day Simple Moving Average (SMA) near 1.0830. EUR/USD is up a scant 1.3% from February’s low bids near 1.0695.