Near-term bias turns more bearish but buyers are holding on still
Price has fallen below the 200-hour MA (blue line) @ 1.1725 and that means the near-term bias has turned more bearish. However, for the moment bids and support around the 1.1700 handle is helping to limit the fall as Italian budget worries continue to weigh on the single currency.
Of note, there are also large expiries rolling off today at the 1.1700 level so that could be a factor to help cap losses for the time being until a new catalyst arrives. Whatever the case, buyers are still not throwing in the towel just yet as long as price holds above that.
It’s now all about Italy’s budget talks so expect headlines to drive price action in the pair today.
Support— 1.1700 (bids, swing region)- 1.1670 (swing region)- 1.1650-57 (swing region, 100-day MA)- 1.1600 (bids, swing region)
Resistance— 1.1725 (200-hour MA)- 1.1756 (100-hour MA)- 1.1775 (swing region)- 1.1790-00 (swing region, offers)