The Euro is holding steady and consolidating in1.0800 zone in early Wednesday’s trading, after strong rally on Tuesday peaked at 1.0818 and closed above 1.0800 handle. Strong bullish sentiment is in play and favor final push towards initial target at 1.0827 (02 Feb high/Fibo 38.2% of larger 1.1614/1.0339, May 2016/Jan 2017 descend). Break of the latter is expected to trigger fresh acceleration towards next target at 1.0886 (falling 200SMA). Tuesday’s long bullish candle and multiple bull-crosses of daily MA’s continue to underpin near-term action, however, overbought slow stochastic warns of extended consolidation before bulls resume. Rising 5SMA marks immediate support at 1.0769, ahead of higher base/10SMA at 1.0720/10 zone, which should ideally contain downticks.
Res: 1.0818; 1.0827; 1.0886; 1.0931
Sup: 1.0787; 1.0769; 1.0719; 1.0708
