The Euro fell further and hit the lowest since 2 Dec on Monday, in extension of steep fall last Thu/Fri (down 0.6%).
Downbeat German Ifo business climate index (Jan 95.9 vs 97 f/c and 96.3 in Dec), released earlier today, added to existing weak tone.
Fresh bears face headwinds at key Fibo support at 1.1016 (61.8% of 1.0878/1.1239) and hold here for now.
Fading bearish momentum and oversold stochastic suggest consolidation above 1.1016, which should stay capped under 1.1061/67 (Friday’s high / 100DMA) before final break below 1.1016 pivot that would open psychological 1.10 support, 1.0981 (29 Nov trough) and 1.0963 (Fibo 76.4%).
Res: 1.1037, 1.1061, 1.1070, 1.1086
Sup: 1.1015, 1.1000, 1.0981, 1.0963
