Bears look for final break of pivotal supports at 1.0795/66

The Euro bounced above 1.08 level after hitting new one-week low at 1.0774, just ticks ahead of pivotal 7 May low at 1.0766.
Slightly softer dollar stands behind the latest jump, but outlook for the single currency remains negative.
US weekly jobless claims came a bit better than expected, but continuing claims rose above previous week’s figure, confirming bleak situation in the US labor sector.
The greenback remains favored safety for traders as global economic crisis on coronavirus pandemic deepens, with additional boost coming from President Trump’s support to strong dollar.
Technical studies also work in favor of Euro’s weakness, as daily MA’s in bearish setup formed double bear-cross (10/30 and 10/20), momentum entered negative territory and RSI turns south from the neutral zone.
Long upper shadows on daily candles of past two days signal that the upside is capped and weigh on near-term action.
Eventual close below cracked Fibo support at 1.0795 (76.4% of 1.0727/1.1017) and break of 1.0766 low would open way for test of key support at 1.0727 (24 Apr low).
Bears are expected to remain intact while falling 10/20DMA’s which formed bear-cross at 1.0846, cap upticks.

Res: 1.0823; 1.0846; 1.0872; 1.0896
Sup: 1.0795; 1.0774; 1.0766; 1.0727