EUR/USD remained trading between the weekly S1 and S2 on Wednesday. It reversed near the 1.1760 mark mid-session and edged higher just to breach the prevailing junior channel and approach the 55-hour SMA near 1.1850.
It is expected that the pair tries to maintain its upward movement during most of the day. However, it does face two strong resistance clusters that could hinder or event halt the Euro’s further advance, namely, the weekly S1 and the 55-hour SMA or the 100– and 200-hour SMAs at 1.1850 and 1.1900, respectively. It is unlikely that the latter is breached today, thus setting this level as the daily high.
On the other hand, technical indicators flash bearish signals. In the worst-case scenario, the Euro could fall down to its 2018 low of 1.1720 but it should nevertheless remain above it.
