- The pair is moving higher and tested once again daily highs beyond 1.1400 the figure earlier in the session, although the bullish attempt run out of legs in the 1.1420 region.
- The pair’s up move comes along some renewed weakness around the buck on the pick up in the risk-on trade and the extended oversold condition of EUR/USD.
- The bearish view around the pair remains unchanged, however, and a break below recent lows in the 1.1300 handle should open the door for a visit to 1.1188 (61.8% Fibo retracement of the 2017-2018 up move) ahead of 1.1118 (monthly low June 2017).
- The ongoing up move is seen as corrective only and it is expected to meet resistance at 1.1457 (10-day SMA) seconded by 1.1567 (21-day SMA), all ahead of the more relevant hurdle around 1.1630, where sit last week’s tops, the base of the daily cloud and the bottom line of the pennant formation in the daily chart.
Daily high: 1.1420
Daily low: 1.1365
Support Levels
S1: 1.1339
S2: 1.1300
S3: 1.1265
Resistance Levels
R1: 1.1412
R2: 1.1448
R3: 1.1486
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