On Friday, the pair fluctuated quite intensively amid contradicting reports that the US Senate is ready to vote for tax reform, while General Flynn pledged guilty to lying to the FBI. Despite that an anticipated resistance at 1.1936 and the 200-hour SMA at 1.1860 managed to retain the rate. A s a result, it is still fluctuating in a junior ascending channel and is about to clash with the upper boundary of a dominant descending channel.
As for today, the pair started new trading week in a limbo between the 100- and 200-hour SMAs. Although the upper side is additionally filled with the 55-hour SMA at 1.1884, the 61.8% Fibonacci retracement level at 1.1887 and the weekly PP at 1.1890, the Euro is still projected to pave the path to the north.
However, this assumption holds true unless traders interpreted Friday’s plunge as a rebound from larger pattern.
