The pair consolidates above new two-week low at 108.95, posted on Thursday after strong three-day fall from 111.39 high.
Upside attempts stalled just under 20SMA in Asia (109.82) with subsequent fall hitting European session low at 109.35 and signaling the downside remains vulnerable.
Further risk aversion signals could drive the pair towards pivotal supports at 108.81 (Fibo 38.2% of 104.63/111.39 ascend) and 108.64 (04 May trough), loss of which would spark stronger bearish acceleration.
Bearishly aligned 10/20SMA’s and momentum, support the notion, but close below cracked rising 30SMA (109.26) is needed to confirm.
Bearish bias is expected to remain intact while 20SMA caps, while break higher would sideline immediate downside risk, but would face further strong headwinds from next barriers at 110.16/24 (converged 200/10SMA’s).
Res: 109.82, 110.16, 110.24, 110.52
Sup: 109.26, 108.95, 108.81, 108.64
