Despite surging early on Thursday, the Euro failed to pick up momentum against the US Dollar, as it was pressured from above by the psychological 1.14 level. Support was set by the 55-hour SMA near 1.1316. These two barriers forced the rate to trade in a narrow range the whole session yesterday.
Technical indicators are still bullish. This means that the Euro could find support at the 100-hour SMA and the monthly S3 followed by a surge towards the monthly S2, the 200-hour moving average and the upper boundary of a medium-term channel at 1.1470. A move above this level is not yet expected.
In case the 55-hour SMA is breached to the downside, a trend-line which is expected to limit any bearish gains is located at 1.13 .
