Bears take a breather after heavy losses, key support at 1.1612 remains in focus

The Euro is consolidating in early Friday’s trading, following 0.6% drop on Thursday (the biggest one-day drop since 19 Aug), as this week’s steep fall broke very important supports, registering weekly drop of 1.5% so far.
Thursday’s close below daily cloud (spanned between 1.1690 and 1.1783) generated fresh bearish signal for possible extension towards key support at 1.1612 (25 Sep low / the floor of multi-week consolidation under new high at 1.2011).
Thursday’s action was contained by rising 100DMA (1.1649) with subsequent bounce signaling that bears may take a breather for consolidation before continuing.
Oversold daily chart stochastic and momentum turning up, deeply in negative territory, support the notion.
Broken former pivotal support at 1.1714 (Fibo 61.8% of 1.1612/1.1880) reverted to strong resistance which is expected to cap upticks and keep bears intact.
Fundamentals also do not work in favor of euro, as the ECB left the door open for introducing fresh stimulus measures in December that fuels fears of a new recession.
German retail sales fell below expectations and French consumer spending fell in September, however, stronger than expected rise of Q3 GDP in France and Spain (markets await German GDP data) could bring slight optimism.

Res: 1.1694; 1.1714; 1.1769; 1.1780
Sup: 1.1665; 1.1653; 1.1626; 1.1612