The common European currency has met with the resistance of a medium term pattern against the Danish Krona. Moreover, the resistance line is strengthened by the 100 and 200-period simple moving averages and the monthly S1.
Meanwhile, take into account that the currency exchange rate is also facing the support of the weekly PP and the 55-period SMA.
These two facts combined indicate that in the near future the pair is set to break out from this stalemate.
However, due to the existence of a medium term channel down pattern, the breaking out to the downside is more favorable.
