The Euro is trading within a narrow range in early Monday, keeping near-term action in directionless mode for almost two weeks.
Multiple failure at pivotal Fibo support at 1.0679 (23.6% of 0.9535/1.1032) points to strong bids, with Friday’s long-tailed daily candle adding to signals of downside rejection, with the action being underpinned by thick rising daily cloud.
On the other hand, near-term action remains limited by falling 10DMA, with long upper shadows of daily candles, pointing to increased pressure, along with prevailing bearish tone of daily studies (strong negative momentum / MA’s in bearish configuration).
Two strong opposite forces keep the pair in directionless mode and awaiting direction signals.
A number of key economic releases EU and Germany are in focus this week and expected to provide fresh signals and push the Euro out of current range.
Res: 1.0705; 1.0787; 1.0822; 1.0872.
Sup: 1.0679; 1.0612; 1.0519; 1.0483.
