The Euro lost traction again on probes above pivotal 1.1900 resistance zone, as fresh rally spiked to 1.1929 (the highest since 1 Sep) and subsequently returned lower.
Bulls continue to face strong headwinds from 1.1900 zone but expected to remain in play while near-term action remains above rising 10DMA (1.1855).
Strong loss of bullish momentum on daily chart warns, but daily MA’s in bullish setup and Tuesday’s long bullish daily candle so far underpin the action, with expectations for increased demand at the end of the year, to additionally inflate the single currency.
Caution on loss of 10DMA that may put bulls on hold for deeper correction.
Next strong supports lay at 1.1800 zone (Monday’s spike low / converged rising 20/30 DMA’s).
Res: 1.1914, 1.1928, 1.1965, 1.2000.
Sup: 1.1882, 1.1855, 1.1834, 1.1800.
