On Thursday, the EUR/USD currency pair declined to the 1.0850 level. During today’s morning, the pair was broke the support level—the weekly S1 at 1.0805.
On the one hand, it is likely that a reversal north could occur in the nearest future. Note that the exchange rate would have to surpass the resistance cluster formed by the 55-, 100– and 200-hour SMAs, as well the weekly PP in the 1.0910/1.0980 area.
Otherwise, it is likely that some downside potential could continue to prevail in the market. In this case the rate could decline below the 1.0700 level. Note that the nearest possible support—the monthly S1, is located only at 1.0616
