On Monday, the EUR/USD currency pair traded downside. During today’s morning, the pair was testing the support formed by the weekly and monthly PPs in the 1.0970 area.
It is likely that the 55– and 100-hour SMAs, located near 1.1050 and 1.0990 respectively, could push the exchange rate lower to the support cluster formed by the weekly and monthly S1s, the Fibo 23.60% and the 200-hour SMA in the 1.0805/1.0886 range.
However, if the weekly and monthly PPs hold, it is likely that a reversal north could occur. In this case the currency pair could re-test the resistance level formed by the monthly R1 at 1.1157.
