EURUSD re-tested the 1.05 resistance today but again got rejected. This is the 2nd rejection of higher levels here in two weeks. It is the first clearer sign that the resistance at 1.05 is robust and that an upside break won’t happen easily. The daily RSI is near the 70 level, indicating EURUSD is close to overbought levels now.

EURUSD has already rallied 950 pips off the September lows. That is a massive move already and can be taken as an indication that this rebound has already run a lot. Further gains are likely to be much harder to come by at these high levels and now that oversold conditions have been greatly corrected.

The chart formation now looks like a double top. It remains to be seen if this leads to a bearish move from here. The first support zone down is 1.0250. Below it, 1.01 and 1.00 (parity) come into focus as the next key support zones.