Euro lingers below 1.09

The EUR/USD pair trades on a weaker note below the mid-1.0900s during the early European session on Thursday. Traders prefer to wait on the sidelines ahead of the key event on the US docket. The US February Retail Sales will be released, which is estimated to show an increase of 0.8% MoM. Furthermore, the dovish remarks from the ECB policymakers this week also weigh the Euro (EUR) against the US Dollar (USD). The major pair currently trades near 1.0940, down 0.07% on the day.

Technically, the bullish outlook of EUR/USD remains intact as the major pair is above the key 50- and 100-period Exponential Moving Averages (EMA) with an upward slope on the four-hour chart. The upward momentum is also supported by the Relative Strength Index (RSI), which stands in bullish territory above the 50-midline, indicating that further upside looks favorable.

The immediate resistance level for the major pair will emerge near the upper boundary of the Bollinger Band at 1.0955. The next hurdle is located at a high of March 8 at 1.0981. Further north, the upside target to watch is a psychological level and a high of January 11 at 1.1000, en route to a high of December 22 at 1.1040.

On the downside, the key support level for a major pair is seen at the confluence of the 50-period EMA and the lower limit of the Bollinger Band at the 1.0910–1.0915 region. The next contention level to watch is the 100-period EMA and round figure at 1.0900. A break below the latter will see a drop to a high of February 29 at 1.0855, followed by a low of February 22 at 1.0800