Bulls to hold grip while rising 10DMA protects the downside
The Euro remains constructive above solid supports at 1.0448/52 (10DMA / Fibo 38.2% of 1.0222/1.0594 upleg) which contained pullback after larger bulls failed to break pivotal Fibo barrier at 1.0578 (Fibo 38.2% of larger 1.2266/0.9535 downtrend).
Daily studies remain in bullish setup and support the action, however, bullish weekly close with minimum requirement on close above Monday’s high (1.0550) is needed to confirm bear-trap under 1.0452 Fibo support and additionally support near-term action.
On the other hand, overbought weekly studies warn that bulls may lose traction, with bearish weekly close to signal bull-trap above 1.0578 Fibo barrier and increase risk of deeper pullback, which would look for confirmation on sustained break of 10DMA.
Res: 1.0550; 1.0578; 1.0608; 1.0700
Sup: 1.0448; 1.0397; 1.0353; 1.0290