Following a few days of decline, the Euro finally recovered some losses against its American counterpart on Friday. The pair managed to appreciate limited 65 pips during the second part of the session until the combined resistance of the 55-hour SMA and the 50.0% Fibonacci retracement stopped any further advances.
Some upside potential could still be apparent on Monday morning; however, the 100-hour moving average, the weekly PP and the breached channel line circa 1.2160 are likely to stop this upward movement. Meanwhile, the expected fall should not exceed the 61.80% Fibonacci retracement and the weekly S1 at 1.2035.
By and large, the general trend for this week should remain north towards the psychological 1.23 mark.
