The appreciation of the Dollar continued on Tuesday, as expected. After reaching support level set up by the monthly PP at 1.1917 the currency rate resumed the surge. However, recovery of the Euro is unlikely to last for long due to resistance formed, first, by the weekly S2 and the 55-hour SMA and, second, by the weekly S1 in conjunction with the 100- and 200-hour SMAs. From daily perspective, the pair is expected to continue moving towards the lower boundary of a three-month long ascending channel. In support of this assumption, two-thirds of all pending orders in both in 50- and 100-pip range are set to sell. Nevertheless, there is a need to take into account that the 61.8% Fibonacci retracement level located at 1.1887 might temporarily halt the downfall.
