TECHNICAL DOUBLE TOP SENDS THE EURO LOWER
The EURUSD pair has moved lower in the European session, as the pair failed at 1.1207, unable to move past Friday's price high at 1.1209, and creating a bearish double top pattern formation on the lower time frame price charts.
The strongest German IFO business survey reading since 1991, did little to help move the euro past the daily high of 1.1207, as U.S Treasury yields and declining gold prices dominated trading sentiment.
The EURUSD has found medium term technical support from the H4 time frame 20 and 50 period moving average, converging together at 1.1171.
Further EURUSD intraday support is located at 1.1166 and the Friday price low, at 1.1145.
A higher time frame close beneath the 1.1171 level is needed to accelerate losses, with the price then likely to test towards the Friday price low, at 1.1145.
To the upside, the 1.1200 level becomes pivotal, with a daily price close above the former weekly high at 1.1212, the key to further EURUSD upside.