EUR/USD Price Analysis: Eyes monthly resistance at 1.1230 on ascending triangle formation breakout

• Breakout of an ascending triangle pattern may challenge the monthly highs.
• Euro bulls have surpassed the 200 EMA for the first time this month.
• The RSI (14) has shifted into a bullish range, which adds to the upside filters.

The EUR/USD pair has extended its gains on Wednesday after overstepping Tuesday’s high at 1.1137. The asset has witnessed a firmer upside this week after breaching the consolidation of the last week, which placed in a narrow range of 1.0966-1.1045.

On a four-hour scale, EUR/USD has given a breakout of the ascending triangle formation by surpassing the horizontal line, which is placed near March 2 high at 1.1143. However, the advancing trendline is plotted from monthly lows at 1.0806, adjoining the March 28 low at 1.0945.

Euro bulls are firmer above the 200-period Exponential Moving Average (EMA) at 1.0960, which adds to the upside filters. However, the bulls seek validation of a bull cross from the 20 and 200-period EMAs.

The Relative Strength Index (RSI) (14) has shifted into a bullish range of 60.00-80.00 from 40.00-60.00, which has triggered a bullish setup.

Should the asset test March 2 high at 1.1143, the major will start advancing towards monthly highs at 1.1233, followed by February 14 low at 1.1280.

On the contrary, greenback bulls can be worthy if the asset drops below March 21 high at 1.1070, which will drag the asset towards March 28 low at 1.0945, followed by round level support at 1.0900.

EUR/USD four-hour chart