The common European currency bounced off a support level formed by the 100-hour simple moving average at 120.74 on Monday. As a result, the currency pair gained about 64 base points during yesterday’s trading session.
The exchange rate made a U-turn south from the monthly S1 at 121.28 during the first part of Tuesday’s trading session.
By and large, it is likely, that the currency exchange rate will continue to edge lower today.
However, a support cluster formed by the combination of the 100– and 200– hour SMAs located near the 120.89 regions could hinder such decline.
