Bears hit five-week low and pressure key supports
The cross extends steep fall into second straight day (was down 0.7% on Thursday) and hits five-week low (0.8943) in early Friday’s trading.
Bears approach pivotal supports at 0.8942/37/33 (daily cloud base / 10 July low / 100DMA), break of which would spark fresh acceleration lower.
Rising negative momentum on daily chart and 10/20/55 DMA’s in bearish setup support the action, however, bears may show hesitation on oversold stochastic.
The pair is on track for weekly close in red that adds to negative signals.
Firm break of cloud base and 100DMA would expose next significant supports at 0.8869/63 (early June higher base / Fibo 61.8% of 0.8670/0.9175 ascend).
Res: 0.8969; 0.8982; 0.9000; 0.9023
Sup: 0.8942; 0.8933; 0.8912; 0.8863