The pair stands at the back foot at the beginning of the week, following strong upside rejection and close in red last Friday, as the greenback was hurt by weaker than expected US wage growth.
Today’s action was so far held by rising 20SMA (110.37) which contained downside attempts in past three days and marks pivotal support, loss of which would generate fresh bearish signal for attack at key supports at 110.27/14 (04 July trough/200SMA).
Mixed daily techs need break of pivotal points to generate clearer direction signal.
Strong bearish signal could be expected on firm break below 200SMA while renewed strength above Friday’s high at 110.78 would re-expose key near-term barrier at 111.13 (03 July high).
Res: 110.54, 110.78, 110.90, 111.13
Sup: 110.25, 110.14, 109.90, 109.63
