The Euro stands at the front foot in the mid-European trading and regains 1.17 handle, after upbeat German PMI data and following EU figure which failed to follow, supported the single currency to move from dangerous zone.
Bounce above the cluster of MA’s (10, 20, 30) eases immediate downside risk and shifts near-term focus higher.
Fresh strength attack the top of thick hourly cloud (1.1709) with break above cloud expected to open way for retest of daily cloud base (1.1724), which repeatedly capped upside attempts in past few days.
Stronger direction signal could be expected on break out of narrowing triangular consolidation, with violation of upper pivots at 1.1749 (triangle resistance) and 1.1790 (09 July high) needed to generate bullish signal.
Res: 1.1709, 1.1749, 1.1790, 1.1848
Sup: 1.1679, 1.1654, 1.1616, 1.1574
