It is difficult to determine where we go from here in the short-term, with the market correcting from oversold levels on Tuesday before stalling out by the 10-Day SMA (by 1.3800), which seems to be offering itself as a solid form of resistance over the past several days.
EUR/USD: It is difficult to determine where we go from here in the short-term, with the market correcting from oversold levels on Tuesday before stalling out by the 10-Day SMA (by 1.3800), which seems to be offering itself as a solid form of resistance over the past several days. We retain a bearish bias and would look for the 10-Day to once again cap ahead of some consolidation and an eventual renewed bout of weakness through 1.3585. A close back above the 10-Day SMA would however delay and open the door for additional corrective gains potentially towards 1.4200 before bearish resumption.
[B]Written by Joel Kruger, Technical Currency Strategist for DailyFX.com
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