The common European currency remained stable against the US Dollar for the third consecutive session on Friday, as the pair continued to fluctuate around the 55– and 200-hour SMAs. This has put the Euro in between the upper boundary of an eight-week channel and the weekly resistance/support level of 1.1650.
The pair trading near the upper channel line for two sessions suggests that it might be ready to break out to the upside. This bullish scenario is likewise strengthened by the fact that the rate surpassed the 55-period SMA (4h) early today.
The most probable upside target in this session is the weekly R1 and the 23.60% Fibo retracement at 1.1760, while a fall should not exceed the 1.1680 area.
