Euro broken the key support heading to 1.1175
Technical Overview: Euro currently trading at 1.1210 made a low at 1.1205 and high at 1.1223 in Asian session as of writing. Technically trading below 1.1240 key support now turned to resistance, sustain above 1.1240 can see till next resistance level at 1272 or 200MA and 1.1315 further. As shown in the figure, 4hr chart showing a pattern again which giving us some price action for the day, as per pattern this broken the falling wedge at 1.1240 and can extend the fall till 1.1170 as per pattern calculation. A break there can extend the fall till 1.1120 again. If not break can see a failure in pattern and can rise again till 1.1250/70. Overall sell on rise is advised for the day.
Fundamental: EURUSD depreciated by 0.08 percent yesterday. The shared currency was also hurt by comments from EU Centeno, who said that Italy’s weak economic growth is worrisome for the area’s finance ministers. Overall, data convinced market players on the health imbalance in European economies, also highlighting divergent paths from central banks, as the ECB is back to adding stimulus.
Suggestion: SELL EURUSD TILL 1.1230-40 FOR 1.1200/1180 ELSE BUY ABOVE 1.1275 FOR 1.1315/1330
Important levels to watch:
S1: 1.1200 S2: 1.1170 S3: 1.1150
R1: 1.1240 R2: 1.1280 R3: 1.1315