There is a previous daily low at 1.2855, (which is also an historical weekly low), the 20-day MA comes in at 1.2865 and there are hourly highs at 1.2880. In a strong downtrend like we currently have, these resistance levels should be respected. On the other hand, there are likely to be heavy macro stop-loss buy orders above 1.2900.
Asia has been keen to buy EUR this week but I somehow doubt if the momentum will be strong enough to take us above 1.2900; maybe I’ll be surprised.
The Australian empoyment number is the main risk event on the economic calendar.
Good luck today.
