The dollar came under pressure on Thursday following short rebound after Fed minutes on Wednesday signaled that there was more than expected talk of tapering bond purchases.
The action stays below broken important Fibo support at 90.16 (76.4% of 89.15/93.45 ascend) for the third consecutive day, maintaining bearish stance, with weekly close below this point to confirm bearish signal, generated after repeated daily close below 90.16.
Daily techs are in full bearish setup and warn of further dollar’s weakness, however oversold weekly stochastic signals extended consolidation before larger bears resume towards key support at 89.15 (2021 low).
Bears are expected to remain intact as long as consolidation stays capped by 90.16/24 barriers (Fibo 76.4% / falling 10DMA).
Res: 90.16; 90.24; 90.37; 90.57
Sup: 89.65; 89.15; 88.93; 88.25
