The Euro remains at the front foot on Wednesday and probes again above daily cloud top (1.0613) for renewed attack at next significant barrier at 1.0622 (100SMA), following Wednesday’s spike to 1.0628.
Strong upside rejection on Wednesday that left daily candle with long upper shadow is expected to weigh on near-term action, as daily studies remain in bearish setup.
The pair faces a cluster of barriers between 1.0613 and 1.0635 (cloud top/100SMA and daily Tenkan-sen in steep descend) which is seen as strong obstacle for the euro to extend near-term recovery leg from 1.0570 low.
Also, growing fears about the outcome of French elections keeps traders cautious and may limit recovery attempts.
Near-term action is also pressured by falling thick 4-hr Ichimoku cloud (spanned between 1.0664/1.0769), base of which should cap extended upticks.
Res: 1.0622, 1.0635, 1.0650, 1.0664
Sup: 1.0593, 1.0577, 1.0568, 1.0524
