The Euro edged higher on Wednesday morning but still holds within a narrow range that extends into third straight day and below strong technical resistances.
Lack of clearer signals (geopolitical/macroeconomic) keeps near term action in quiet mode, though with persistent worries of worsening conditions that would keep focus shifted from riskier assets and continue to underpin the dollar.
Technical picture on daily chart is predominantly bearish (thickening cloud above / MAs in bearish configuration / negative momentum) and supports near term outlook.
Initial barrier, provided by 55DMA (1.1645, where repeated failure has been registered in past few sessions) is under pressure again, guarding more significant resistances at 1.1669 (daily cloud base); 1.1680 (converged 20/200DMAs, on track to form death cross / 50% retracement of 1.1788/1.1576) and 1.1697 (converged 30/100DMAs, about to create bear cross/cloud top).
Strong headwinds are expected at this zone, adding to likely scenario of limited upticks and keeping larger bearish bias.
Conversely, firm break of all these barriers would strengthen near term structure and shift focus to the upside.
Res: 1.1669; 1.1680; 1.1697; 1.1707.
Sup: 1.1628; 1.1616; 1.1576; 1.1500.
