At the start of this week’s trading, the EUR/USD currency exchange rate passed the resistance of a channel down pattern. The pattern had guided the rate down since August 13.
During the early hours of Monday’s trading, the pair reached and bounced off the resistance of the weekly simple pivot point at 1.1723 and reached the support of a 61.80% Fibonacci retracement level at 1.1707.
In the near term future, the pair could pass the support of the 61.80% Fibonacci retracement level at 1.1707, the 100-hour simple moving average at 1.1705 and the 1.1700 mark. In this case scenario, the EUR/USD could look for support in the 55-hour simple moving average near 1.1690.
On the other hand, a potential recovery would find resistance in the weekly simple pivot point at 1.1723 and the 200-hour simple moving average at 1.1730.
