On Thursday, the EUR/USD currency pair declined to the weekly S2 at 1.0842. During today’s morning, the rate was trading at the given level.
If the weekly S2 holds, it is likely that a reversal north could occur in the nearest future. In this case it is unlikely that the exchange rate could exceed the Fibonacci 23.60% retracement at 1.0886.
However, note that the currency pair is pressured by the 55-hour moving average near 1.0900. In this case some downside potential could prevail in the market, and the pair could decline to the 1.0800 area.
