The pair lost traction and slid to 97.00 support zone, after recovery rally from 95.78 stalled at 98.64, just ahead of 100DMA and daily Ichimoku cloud base. Failure to extend recovery to trendline resistance at 99.33 sees increased downside risk and possible resumption of larger downtrend from 101.52. Hourly indicators are in the negative territory, keeping the downside in near-term focus, as the fall retraced over 50% of 95.78/98.64 upleg. Violation of 97.00 handle is expected to open way for possible full retracement of 95.78/98.64 ascend. Conversely, bounce through Thursday’s high at 98.64 to provide relief and allow for further recovery.
Res: 97.84; 98.03; 98.64; 98.75
Sup: 97.00; 96.40; 95.91; 95.78
Source: FinFX Market Outlook - www.finfx.fi