Support – 1. 1088 , 1.1058, 1.10
- Pair’s retreat from the European session high of 1.1154 following a three-day winning streak indicates the momentum may have run out of steam for now and thus could yield sideways action just above 1. 1088 (50% of 1.0463-1.1714).
- Nevertheless, a day end closing above 1. 1088 today in the wake of a better-than-expected preliminary Eurozone CPI report would signal continuation of the rally from Friday’s low of 1.0911 and open doors for a further upside towards 1.236 (38.2% of 1.0463-1.1714).
- On the other hand, a daily closing below 1. 1088 would signal end of the corrective rally from Friday’s low and could result in a fall back to 1.10 levels.