The pair stands at the back foot in early European trading following repeated failure at pivotal 109.15 barrier (daily Kijun-sen / 50% retracement of 113.70/104.59 descend).
Falling 20SMA (109.49) reinforces resistance as momentum and RSI are neutral on daily chart and so far offset positive signal on 1/10SMA bull-cross.
Break out of near-term range (109.15/107.76) is needed to generate fresh direction signal.
Bullish scenario on close above 109.15/49 pivots would expose targets at 110.00 (psychological) and 110.26 (Fibo 61.8% of 113.70/104.59).
Rising 10SMA marks initial support at 108.57, loss of which would weaken near-term structure, but sustained break below 107.76 would generate stronger bearish signal.
Res: 109.15, 109.49, 110.00, 110.26
Sup: 108.70, 108.57, 108.07, 107.76
