An early Monday’s morning showed that the EUR/USD stopped the surge that was triggered by a speech delivered by Mario Draghi last Thursday. The point, at which the pair made a u-turn, represents a reaction high of a three month long ascending channel. Taking into account how easily the Euro fell through the 20-hour SMA and the monthly R2 at 1.1657, allows assuming that it will not be stopped by the 55-hour SMA as well. The closest barrier that has a chance to slow down the drop is the weekly PP at 1.1594 that will be additionally backed up by the 100-hour SMA. Nevertheless, traders should take into account that a release of a number of fundamental data today and tomorrow might either accelerate the fall, or facilitate to a premature rebound.
