EURUSD BELOW 1.1148 AND DROPPING

The EURUSD pair continues to trade beneath major intraday support at 1.1148, with price currently trading at 1.1142 and so far reaching a weekly low of 1.1132.

Recently the pair has been dominated by euro dip buying and U.S dollar index selling, however, an improvement in trading sentiment towards the U.S dollar after Wednesday rate hike has seen a reappraisal of the EURUSD.

Technically the pair remains strong bearish whilst trading below the 1.1168 level, nearby resistance is located at the M5 time frame 20 period moving average at 1.1148.

Should the pair start to trade above the 1.1168 level, the 1.1180-90 region becomes critical intraday resistance for the EURUSD.

To the downside, the recent low at 1.1132 becomes tentative daily support, with the May 30th low at 1.1109 far more important support for the pair.

A loss of the 1.1109 level should cause a further weakening in the EURUSD towards the daily time frame 50 period moving average at 1.1057.