On Friday, the EUR/USD currency pair re-tested the support level formed by the monthly S2 at 1.0650. During today’s morning, the pair was trading near the given support.
Note that the exchange rate is pressured by the 55-hour SMA near 1.0750. Thus, some downside potential could prevail in the market. In this case the rate could gain support from the monthly S3 and the weekly S1 in the 1.0500 area.
However, if the given support level holds, it is likely that the currency pair could consolidate in the nearest future. Also, it is unlikely that bulls could prevail in the market, and the pair could exceed the monthly S1 at 1.0840.
