The EUR/USD exchange rate has managed to uphold its upward momentum since last Wednesday. Being supported by the 55– and 100-hour SMAs, bulls strengthened their bullish sentiment, thus allowing the Euro to dash through the 200-hour moving average. Further advance above 1.1960 was limited by the monthly S1.
The pair’s consolidation since mid-Friday might suggest that it might be tended south in this session. But given lack of fundamental releases today, it is unlikely that the Euro falls below the 1.19 mark where the combined support of the 55-, 100– and 200-hour SMAs are located. Thus, it might be located near the psychological 1.20 level on Tuesday morning.
In terms of upside potential, gains could be capped near the 61.80% Fibonacci retracement at 1.2050.
