The EUR/USD currency pair chart was more aggressive in early trading this week as investors witnessed a strong price surge as soon as the Asian session began on Monday morning.
In contrast to last week's more positive close, the US dollar was seen trading weak again at the beginning of the week.
Thus, it can be seen that the price has surged to a new high exceeding last week's trading level.
Previously, the price resistance was at the 1.05000 zone which was tested several times including at the end of last week, but still failed to be broken through.
The price pullback last Friday was seen testing the Moving Average 50 (MA50) support line on the 1-hour timeframe on the EUR/USD chart before closing the last session's trading around 1.04600.
Opening trading early this week around that, the price showed a rebound from the MA50 support and then broke through the 1.05000 resistance zone.
As of 11am local time, the price has reached around 1.05280 which is the latest high for the 4-week trading period.
The target for a higher increase if the bullish pattern continues will push the price towards the target at 1.06000.
If the price movement direction shows otherwise, a decline below the 1.05000 zone and the MA50 support line will be an early indication of a trend reversal.
The next extended decline will retest the support at 1.04000 before the target shifts to around 1.03000.
