The euro has been drifting sideways in search of more demand after its October rally. The latest RSI divergence suggests that the bearish momentum is fading away and sellers have yet committed themselves. The break of the hourly resistance level of 120.40 and the bullish MA cross help boost optimism. We expect the pair to make a comeback to the previous high of 120.80, and the averages may provide support in case of a retracement.