The pair cracked 109 barrier on fresh extension higher at the beginning of US session on Tuesday, but so far without clear break through round-figure barrier, reinforced by descending 100SMA. Strong bullish sentiment remains in play for extension through 109 and test of daily cloud top at 109.31, break of which would generate fresh bullish signal for further retracement of 113.75/104.63 fall and attack at psychological 110.00 barrier. Despite strong bullish environment, risk of stall of strong bullish acceleration in past few sessions exists as strongly overbought slow stochastic warns of consolidative / corrective action ahead, likely before probes through cloud top. Strong supports lay at 108.25 (broken Fibo barrier) and 107.90 (former high of 21 Feb/rising daily Tenkan-sen) and should hold extended corrective dips to keep bulls intact.
Res: 109.10; 109.31; 109.78; 110.00
Sup: 108.66; 108.49; 108.25; 107.90
