EUR/USD Price Analysis: Struggles around the 20-EMA band, parity remains a key hurdle

• Ambiguity in the risk profile has shifted the asset to the sidelines.
• The asset is hovering around the 20-MA High-Low band, which acts as a major area of the impulsive rally.
• A breach of parity would expose the asset to smash a two-month high at 1.0200.

The EUR/USD pair has slipped marginally after struggling to cross the immediate hurdle of 0.9965 in the early European session. The asset has turned sideways amid ambiguous performance displayed by the mighty US dollar index (DXY).

The risk profile is displayed mixed response as upbeat S&P500 futures are providing a solid cushion while anxiety ahead of the interest rate decision by the Federal Reserve (Fed) is capping the upside.

On a four-hour scale, the asset witnessed a juggernaut rally after an upside break of the Symmetrical Triangle chart pattern, however, the rally had been followed by a corrective move. The asset is hovering marginally below the 20-period Moving Average (MA) High-Low band, which acts as a strong support for the asset.

Meanwhile, the Relative Strength Index (RSI) (14) has slipped into the 40.00-60.00 range. An upside momentum will get triggered once it will reclaim the bullish zone in a 60.00-80.00 range.

Should the asset break above September 20 high at 1.0051, the shared currency bulls will send the asset firmly toward August 3 low at 1.0123, followed by a two-month high at 1.0200.

On the flip side, the greenback bulls will grab attention if the asset drops below October 25 low at 0.9848. It may drag the asset toward October 20 low at 0.9755 and October 21 low at 0.9705.

EUR/USD four-hour chart