On Friday, the EUR/USD currency pair declined to the psychological level at 1.1020. During today’s morning, the pair was trading near the given level.
Note that the exchange rate is pressured by the 55– and 100-hour moving averages, currently located circa 1.1050. Thus, some downside potential could prevail in the market in the short run, and the rate could surpass the 1.1000 level.
However, note that the currency pair has been trading within the falling wedge pattern since the beginning of November. From a theoretical perspective, it is likely that a breakout north could occur. In this case the pair could face the resistance level formed by the weekly and monthly PPs at 1.1070.
