The common European currency met on Friday and did not manage to pass the resistance of the 200-hour simple moving average against the US Dollar. The event resulted in a decline, which lasted into the morning hours of Monday’s trading session.
On Monday morning the currency exchange rate found support in the junior ascending channel pattern’s lower trend line, confirming its strength once more.
Meanwhile, the 200-hour SMA was approaching from the upside. Due to that reason the pair is set to be squeezed in between the resistance and the support line. The squeeze is bound to end up in a break out.
