Euro loses traction but daily cloud base continues to provide solid support
The Euro dips on Thursday after better than expected US jobless claims / labor cost data lifted dollar, reversing the most of Wednesday’s nearly 0.9% advance.
Near-term focus is shifting to the downside as fresh weakness retraced over 61.8% of 1.0532/1.0691, Feb 27 / Mar 2 recovery leg.
Prevailing bearish tone on daily studies (negative momentum / multiple MA bear-crosses) adds to weakening near-term structure and increasing risk of retesting key support at 1.0532, however, bears need to clear the base of rising daily cloud (1.0576) which contained attacks in past few sessions.
Tops of today / Wednesday, (1.0691/72) reinforced by 20DMA marks pivotal barrier, violation of which would neutralize near-term bears.
Res: 1.0670; 1.0714; 1.0743; 1.0803
Sup: 1.0576; 1.0536; 1.0483; 1.0460