Downside risks have prevailed in the market since yesterday thus allowing the common European currency to decline 94 pips against the US Dollar. The currency pair managed to surpass the 55-, 100-, and 200– hour SMAs along the way but was unable to breached the bottom border of an ascending trendline.
According to technical indicators, some downside potential still exists in the market. In the meantime, the EUR/USD currency exchange rate could make a brief retracement north for a likely re-test of the aforementioned SMAs during the following trading session.
