At the end of previous week, the EUR/USD currency pair dropped to the support level formed by the monthly S1 at 1.1220. During Monday’s morning, the pair was testing the given support.
If the given level holds, it is expected, that a reversal north could occur within the following hours. In this case, it is unlikely, that the Euro could exceed the 1.1259/1.1273 range against the Greenback due to the resistance cluster formed by the 55– and 100-hour SMAs, as well the weekly PP.
If the given support level does not hold, it is likely, that the exchange rate could maintain its decline. Note, that the rate could face the support of the Fibonacci 38.20% retracement located at the 1.1200 mark.
