On Monday, the EUR/USD currency pair jumped to the monthly S2 at 1.0872. During today’s morning, the pair was trading near the given level.
If the given resistance level holds, it is likely that the exchange rate could trade downwards in the short term. Note that the rate could gain support from the 55-, 100– and 200-hour SMAs, as well the weekly PP in the 1.0815/1.0835 area
However, if the currency pair fails to surpass the 1.0850 level, it is likely that the Euro could trade sideways against the US Dollar in the short run. Also, it is unlikely that bulls could prevail, and the pair could exceed the Fibo 23.60% at 1.0886.
