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Inches Closer to Last Week’s Lows

EURO-DOLLAR TECHS
  • RES 4: 127.13/126.81 2.0% 10-dma envelope / High Apr 17, 2019
  • RES 3: 125.97 50% 2018 - 2020 Decline
  • RES 2: 125.83 2.0% Upper Bollinger Band
  • RES 1: 125.58 High Aug 6
  • PRICE: 124.58 @ 04:55 BST Aug 11
  • SUP 1: 123.86 20-day EMA
  • SUP 2: 122.84 Low Jul 24 and key support
  • SUP 3: 122.47 Low Jul 21
  • SUP 4: 121.82 Low Jul 15 and 16

Weakness into the Friday close extended throughout Monday hours as the cross neared last week's lows. Nonetheless, the cross remains strong despite recent moderation. The underlying uptrend looks to Fib resistance at 125.97 and 126.68. RSI measures have fallen back out of overbought territory, which may give markets an opportunity to reinitiate fresh longs. To the downside, a close below 123.06 would signal a top and highlight the potential for a correction.

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