After reaching the 111.00 mark early on Wednesday, the US Dollar plunged for the remaining session. As a result, the rate breached the weekly R1 and all three SMAs and reached the 109.60 area this morning.
The above fall set trend indicators in the strongly bearish territory, demonstrating that further momentum downwards may still occur. The failure to move above the 200-hour SMA should work as a confirmation that the rate is set to fall.
Nevertheless, this movement south has allayed slightly near the weekly PP. It is therefore expected that the rate remains above the given line and might even try to return near the weekly R1.
