Bullish bias intact above 1.21 support but risk of stall exists
The Euro regained traction after brief pullback on Monday and rose new marginally higher multi-week high on Tuesday, inflated by upbeat German data.
Monday’s close in red with minor negative reaction seen from bearish signal from red daily candle with long upper shadow.
Bulls continue to focus Fibo target at 1.2197 (76.4% of 1.2349/1.1704), violation of which would open way for gains above 1.22 mark and expose targets at 1.2242 (Feb 25 spike high) and 1.2300 (round-figure barrier).
Overbought stochastic on daily and weekly charts warns that bulls may lose steam, with dips expected to provide better buying opportunities above 1.2100 support zone Broken Fibo 61.8% at 1.2102 and rising 10DMA at 1.2087).
Caution on break here that would risk deeper pullback and unmask key supports at 1.2000/1.1975 (psychological / daily cloud top.
Res: 1.2181; 1.2197; 1.2242; 1.2272
Sup: 1.2149; 1.2123; 1.2102; 1.2087