The Euro turns negative as the ECB fails to provide any information regarding the future path of interest rate increases in Europe. Adding to the Euro's weakness, the greenback strengthened significantly as the market increased its demand for the U.S currency due to an increase in U.S treasury yields and the strong performance from the U.S stock market. For today, investors are shifting their focus towards the U.S GDP figures, which is a major factor in determining the future stance of the Federal Reserve in regards to increasing rates.
The Euro forms a bearish reversal Triple Top pattern and drops towards the 1.16353 support level. Adding to the bearish momentum, the currency broke below both the 50-period moving average and the 200-period moving average signaling a shift towards a bearish trend. A break below the 1.16353 support level will pave the way for a drop towards the 1.27 Fibonacci extension at 1.15650.
Support: 1.16353 1.15650
Resistance: 1.16532 1.17174