Bears focus key 1.10 support but may consolidate further before final attack
The Euro stands at the back foot in early European trading on Tuesday and pressuring Friday’s low at 1.1066, following strong recovery rejection at 1.11 zone and Monday’s bearish close, which marked the fifth straight daily close in red.
The single currency is pressured by strong dollar and political instability in Italy that keeps risk of final attack at psychological 1.10 support, however, further hesitation ahead of 1.10 pivot should be anticipated, as daily stochastic is deeply oversold and momentum is rising.
Potential upticks are expected to offer better selling opportunities while capped by converging falling 20/10 DMA’s (1.1141/45 respectively).
Res: 1.1088; 1.1113; 1.1136; 1.1145
Sup: 1.1073; 1.1066; 1.1026; 1.1000