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Shrugs Off Show Below 1.17

EURO-DOLLAR TECHS
  • RES 4: 1.2076 3.0% 10-dma envelope
  • RES 3: 1.2000 Psychological round number
  • RES 2: 1.1978 1.236 proj of May 7 - Jun 10 rally from Jun 19 low
  • RES 1: 1.1909 High Jul 31
  • PRICE: 1.1789 @ 09:55 BST Aug 4
  • SUP 1: 1.1696 Low Aug 3
  • SUP 2: 1.1639/1581 Low Jul 27 / Low Jul 24
  • SUP 3: 1.1595 20-day EMA
  • SUP 4: 1.1541 Low Jul 23

Bulls clearly remain confident despite the pair showing below $1.17 late yesterday, recouping much of the lost ground to post a new weekly high and test $1.18 early Tuesday. For further progress, however, bulls need to re-establish a base above $1.18 with some consistency before recent highs can be re-tested, suggesting the most likely outcome from here is sideways consolidation within the range. Any persistent move higher will focus on 1.1978, a Fibonacci projection and the psychological 1.2000 handle.

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