Bears eye Friday’s low but can extend further
The Euro holds in red against US dollar for the third straight day, with near-term action being capped by falling 10DMA (1.1094), following negative signals on two consecutive daily closes below the moving average.
The single currency was also weighed down by weakening British pound, hit by fresh news that further boost fears about hard Brexit.
Tuesday’s close below 1.1094 (Fibo 61.8% of 1.1051/1.1163) was bearish signal, with fresh extension lower probing below 1.1078 (Fibo 76.4%) adding to negative outlook, also supported by bearish daily techs.
Friday’s low at 1.1051 is in focus, with risk of extension towards 2019 low at 1.1027 (1 Aug) and psychological 1.10 support, expected on stronger bearish acceleration.
Broken 10DMA should continue to cap and maintain bearish tone.
Res: 1.1094; 1.1115; 1.1132; 1.1142
Sup: 1.1073; 1.1065; 1.1051; 1.1027