The EUR/USD failed to pass the resistance of the 200-hour simple moving average on Monday. Moreover, during the day the SMA forced the pair into a short period of trading below the support zone of 1.1925/1.1920. During the early hours of Tuesday’s trading, the pair had clearly retreated below the support zone.
In theory, the currency exchange rate should declined, as it has no technical support as low as the weekly S1 simple pivot point at 1.1866. However, on its way down, the rate is most likely going to find support in the 1.1900 marks.
On the other hand, a potential surge should have to pass the 1.1920/1.1930 zone. In that zone, the pair would face the resistance of the last week’s low levels, the weekly simple pivot point, and the 55, 100, and 200-hour simple moving averages.
