EUR/USD Could Trade Downwards

Yesterday, the EUR/USD currency pair reversed south from the resistance level at 1.2180.

It is likely that some downside potential could prevail in the market, as the exchange rate is pressured by the 55– and 100-hour SMAs, as well the weekly PP in the 1.2139/1.2157 range.

Meanwhile, note that the rate could gain support from the weekly S1 at 1.2089. If the predetermined support holds, the pair could bounce off and re-test the given resistance area.