The Euro extends lower in early Tuesday’s trading and pressures again key supports at 1.1573/68 (30SMA / Fibo 38.2% of 1.1300/1.1733 upleg). The dollar rose on fears that US/China trade conflict could escalate, as well as concerns about emerging markets, with focus on growing crisis in Argentina and Turkey, keeping the Euro under pressure. Near-term risk remains skewed lower, with dips through 1.1573/68 to open next support at 1.1541 (20SMA), where extended pullback should find ground and keep larger bulls in play. The notion is supported by strong momentum which eased slightly but remains in bullish mode and slow stochastic in oversold zone and expected to generate bullish signal on reversal. Only sustained break below 1.1517 (50% retracement of 1.1300/1.1733) would neutralize bulls and signal further downside.
Res: 1.1615, 1.1637, 1.1660, 1.1690
Sup: 1.1573, 1.1568, 1.1541, 1.1517
