The Euro continues to take advantage of the weakened US Dollar, driven by hopes on the new German coalition. The pair started its surge mid-Thursday and has since appreciated 2.37%. As a result, the it breached the upper boundary of an ascending channel valid since late October, as well as the rate had reached its highest point since 2015 by early today. As apparent on the chart, the strong upside momentum has allayed in this session due to the pair testing the monthly R2 at 1.2225. Technical indicators are located near their historic highs, thus pointing to a soon period of decline. This scenario, however, might not occur today, as the Euro could still push towards the weekly R1 at 1.2310. In case the bearish sentiment takes over, the weekly PP and the monthly R1 circa 1.2115 are likely to limit the pair.
