Euro’s failure to take out/sustain above 1.1534 on daily closing basis if followed by a break below 1.1429 (today’s low) could result in a minor sell-off to 5-MA on monthly chart seen currently at 1.1203.
The area between 1.1430-1.1534 has acted as strong resistance throughout last one year. Pair also struggled around 1.1450 last month before finally breaching through the same today.
Despite this, if the pair drops below 1.1429, bulls are likely to see a short-term loss of control.
On the higher side, a daily close above 1.1534 shifts risks in favor of extension of the rally to 1.16. On charts, a major hurdle is seen only at 1.1714.