The Euro traded within 1.1200/50 range in Asia / early Europe on Tuesday and maintaining negative bias, with session low under pressure again.
Monday’s strong recovery rejection that left (bullish) daily candle with long upper shadow, weighs on today’s action.
Rising bearish momentum and 5/10/20DMA’s in negative configuration, add pressure on the pair.
The single currency failed to benefit from EU inflation data (June CPI beat forecast), in addition to Monday’s upbeat German CPI, as global concerns about the second wave of epidemic and economic recovery, continue to harm the risk sentiment and inflate dollar.
Near-term focus returned to key supports at 1.1175/68 (Fibo 38.2% of 1.0774/1.1422 / 19 June higher low) and firm break here would spark fresh bearish acceleration.
Repeated close below 10DMA (1.1232) to keep bears intact, while extended upticks expected to remain capped under 20DMA (1.1266) and keep bias with bears.
Res: 1.1232, 1.1251, 1.1266, 1.1287
Sup: 1.1200, 1.1183, 1.1175, 1.1098