As it was expected the common European currency extended its gains against the US Dollar until the middle of Tuesday’s trading session. However, it was also expected that a reversal of the direction of the rate could take place, and that occurred in the second half of the day’s trading. The change in direction happened due to the pair encountering the resistance of a massive scale descending channel pattern in the range from 1.1550 to 1.16. It is most likely that the pair will soon make another attempt at the resistance and begin a medium length period of fluctuations around it. Although, in regards to today’s trading session, the Euro is likely going to retreat down to the combined support cluster of the weekly R1 and the 55-hour SMA below the 1.1520 mark. Afterwards a rebound could occur.
