On Monday, the EUR/USD managed to pass the resistance of the 100 and 200-hour simple moving averages near 1.2200. It was followed by a surge, which on Tuesday was testing the 1.2240 level. Note that the 1.2240 level reversed the rate’s two surges. Namely, the EUR/USD bounced off the 1.2240 mark on May 19 and 21.
In the case of the rate passing the resistance of the 1.2240 mark, the rate could test the May high level near 1.2260. Take into account that the May high is strengthened by the weekly R1 simple pivot point at 1.2263.
On the other hand, a potential decline would look for support in the 1.2200 mark. This level is supported by the 55, 100 and 200-hour simple moving averages in the 1.2204/1.2210 range. Moreover, the weekly simple pivot point could provide support at 1.2198.
