On Monday, the EUR/USD currency pair tried to surpass the Fibo 38.20% at 1.1200. During today’s morning, the pair declined to the 1.1100 level.
From a theoretical perspective, it is likely that the exchange rate could re-test the lower boundary of the short-term descending channel near 1.1050. If the given trend hold, a reversal north could follow.
Otherwise, it is likely that the Euro could continue to trade downwards against the US Dollar in the short term. In this case the currency pair could gain support from the monthly PP and the weekly S1 in the 1.0950
