On Tuesday, the euro fell by 31 points, at the moment it reached the level of 1.1290 – the low on January 24, where it met moderate support. On the four-hour chart, the leading indicator Marlin does not give signals for a reversal (deep correction), so we are waiting for the intermediate support to be overcome today and the euro will continue to decline towards the target of 1.1215.
But the main scenario described has a fundamental resistance. Tomorrow, the ECB will announce its monetary policy decision, and investors can postpone active actions. From this point of view, the technical range of 1.1270-1.1309, determined on December 14 and a low on January 3, can be transformed into a consolidation zone, or more precisely, a sideways trend.
The material has been provided by InstaForex Company – www.instaforex.com