The Euro stands at the front foot for the second consecutive day, boosted by improved sentiment on growing expectations for a de-escalation of the conflict in Ukraine that revived risk appetite.
Tuesday’s first bullish close after five straight days in red was an initial positive signal, although fresh risk mode is still tentative and needs more evidence on lift above initial pivots at 1.0958/68 (Tuesday’s high / Fibo 23.6% of 1.1494/1.0806) to expose key barriers at 1.1000/1.1040 (psychological/broken Fibo 76.4% of 1.0635/1.2349 rally).
Only break here would sideline larger bears for stronger correction. Caution on signs of recovery stall under 1.10 zone as larger picture is bearish and limited recovery would offer better selling opportunities for fresh acceleration lower, with violation of new multi-month low (1.0806) to open way towards key target at 1.0635 (pandemic low, posted in March 2020).
Res: 1.0968; 1.1000; 1.1040; 1.1069.
Sup: 1.0900; 1.0889; 1.0848; 1.0806.
