The Euro probes above Monday’s high at 1.1262 in early European trading, on fresh bullish acceleration from session low at 1.1220.
Strong bullish sentiment was boosted by comments from German Chancellor Merkel who said that the Euro is too weak.
The single currency remains in steep ascend, driven by weak dollar and is currently reading on the wave C from 1.0838 (11 May trough) which may extend towards wave’s 238.2% and 261.8% Fibonacci expansion at 1.1323 / 1.1372 respectively.
Firm bullish setup of daily studies remains supportive, however, overbought slow stochastic / RSI conditions warn of corrective action in the near-term, but no bearish signal seen so far.
The pair is eyeing German Ifo data for fresh signals. German business climate is forecasted at 113.1 in May, above April’s 112.9 release that may lend further support to the Euro on release at / above consensus.
Res: 1.1270, 1.1300, 1.1323, 1.1372
Sup: 1.1220, 1.1160, 1.1127, 1.1100