On Thursday, the EUR/USD currency pair jumped to the 1.1350 level. During today’s morning, the pair tested the monthly R2 at 1.1385.
On the one hand, it is likely that some downside potential could prevail in the market. In this case the exchange rate could decline to the support area formed by the 55– and 100-hour SMAs, as well the weekly and monthly S1, the Fibo 38.20% in the 1.1200/1.1265 area.
Meanwhile, note that the rate could gain support from the weekly R2 at the 1.1216 mark. It is likely that the rate could get squeezed by the given level and the monthly R2, thus, trade sideways in the short run