On Wednesday, the EUR / USD currency pair failed to exceed the monthly R1 of 1.1246. During today’s morning, the couple tested the support formed by Fibo 38.20% and the 55 hour SMA of 1,1200.
If the given support holds, it is likely that a reversal north may occur. In the meantime, note that the exchange rate may remain under the pressure of the monthly R1 and trade sideways in the short term.
If the support provided does not hold, it is likely that the exchange rate may continue to trade downward in the near future. In this case, the speed could get support from the 100-hour SMA near 1.1160.