The Euro extended weakness on Friday and tested support zone at 1.2299/90, driven by stronger dollar and hedging for option expiries.
The pair holds just above new daily low at the beginning of the US session, with strengthening negative near-term sentiment, seeing risk of deeper fall.
Weekly close below 1.2290 pivot (Fibo 61.8% of 1.2215/1.2413 upleg) would generate stronger bearish signal for further weakness towards key supports at 1.2235 (daily cloud base) and 1.2215 (06 Apr low).
Strong barrier at 1.2329 (converged 20/30/55SMA’s) is expected to keep the upside protected.
Res: 1.2314; 1.2329; 1.2350; 1.2400
Sup: 1.2261; 1.2235; 1.2215; 1.2200
