On Tuesday, the EUR/USD currency pair declined to the monthly R1 at 1.1246. During today’s morning, the pair was trading at 1.1260.
Note that the exchange rate is pressured by the 55-, 100 and 200-hour SMAs near 1.1300. Thus, it is likely that some downside potential could prevail, and the rate could decline to the support area formed by the Fibo 38.20% and the weekly S1 in 1.1172/1.1200.
However, if the monthly R1 holds, it is likely that the Euro could trade sideways against the US Dollar within the following trading session.
