Fresh strength attacks again key 1.10 resistance zone
The Euro stands at the front foot in European trading on Wednesday and jumps towards key barriers at 1.10 zone.
The action of past four days was congested between daily Tenkan-sen and Kijun-sen lines, with negative impact on four consecutive upside rejections, being so far limited.
Larger picture remains bearish and risk of fresh weakness would increase on repeated failure to clear 1.10 zone pivots, however, confirmation of fresh bears would require break and close below daily Tenkan-sen.
On the other side, stronger bullish signal could be expected on close above 1.10 zone (daily Kijun-sen / double-Fibo barrier / trendline resistance).
Daily studies are mixed and markets focus on today’s release of FOMC minutes, as well as speech of Chief Powell, which could provide clearer direction signal.
Res: 1.0994; 1.1004; 1.1025; 1.1055
Sup: 1.0978; 1.0965; 1.0955; 1.0940