Bears probe through psychological 1.20 support in early European trading on Wednesday and risk deeper fall.

Bull-trap above 1.2102 Fibo barrier and last Friday’s massive bearish candle weigh on Euro as bears pressure next key supports at 1.1979/73 (Fibo 38.2% of 1.1704/1.2149/daily cloud top), loss of which would generate strong bearish signal for extension towards 1.1941/27 (200DMA/50% retracement) and 1.1899 (daily cloud base) in extension.

Weakening daily studies (momentum is approaching negative territory and 5/10/20 DMA’s turned to bearish setup) support the action, but oversold stochastic warns that bears may face headwinds.

Upticks are expected to stay below broken 100DMA (1.2049) and offer better selling opportunities.

Res: 1.2015; 1.2026; 1.2049; 1.2061
Sup: 1.1979; 1.1973; 1.1941; 1.1899


Interested in EUR/USD technicals? Check out the key levels

    1. R3 1.2121
    2. R2 1.2093
    3. R1 1.2054
  1. PP 1.2026
    1. S1 1.1987
    2. S2 1.1959
    3. S3 1.192

The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.

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