The EUR/USD pair trades near the base of its latest range this Monday, bearish as the European agreement on Greece failed to boost the pair beyond the critical resistance at 1.1440. The common currency is being weighed by worse than expected figures in the IFO survey, and broad dollar strength, as the market's attention shifted towards this week FED's Yellen testimony before the Houses.
The technical picture according to the 4 hours chart favors the downside, as the price extends below its 20 SMA and the 200 EMA, both converging around 1.1380, while the technical indicators accelerate south below their midlines. A break below the 1.1300 figure should lead to an approach to the 1.1250 price zone, while a break below this last should trigger stops and see the slide extending down to 1.1200.
To the upside, only above the mentioned 1.1380 area the pair may have a chance to recover, up to mentioned 1.1440, although at this point, spikes should be seen as selling opportunities rather than a confirmation of further recoveries.
View Live Chart for EUR/USD
The technical picture according to the 4 hours chart favors the downside, as the price extends below its 20 SMA and the 200 EMA, both converging around 1.1380, while the technical indicators accelerate south below their midlines. A break below the 1.1300 figure should lead to an approach to the 1.1250 price zone, while a break below this last should trigger stops and see the slide extending down to 1.1200.
To the upside, only above the mentioned 1.1380 area the pair may have a chance to recover, up to mentioned 1.1440, although at this point, spikes should be seen as selling opportunities rather than a confirmation of further recoveries.
View Live Chart for EUR/USD
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