02.07.201505:38 Forex Analysis & Reviews: Technical analysis of EUR/USD for July 02, 2015

The euro extended its fall for the second consecutive day closing below 20&50Dsma. The Greek PM accepted the creditors' proposals, but the pair's reaction was quite opposite.

Data on the PMI was put aside at yesterday's session. Greece's referendum was the only factor which traders expressed concern about. However, the Spanish Market PMI came out at 54.5 in June against 55.8 in May, but still signaling a solid improvement in the sector.

The Germany PMI, designed to provide a single-figure snapshot of the performance of the manufacturing economy, rose to 51.9 in June from 51.1 in May signaling an acceleration of manufacturing growth in Germany. Besides, the US delivered strong data.

Today traders eye Spanish unemployment change. ECB President Mario Draghi's speech is due today.

Technical view: The pair had rejected at 20Dsma & 100Dema earlier. At yesterday's session, it rejected at 50Dsma losing the same moving averages. The 100Dema is found at 1.1040. The 2Wsma is seen at 1.1030. A daily close below 100Dema is likely to open gates towards 1.0950, 1.0900, 1.0850, and 1.0800 initially. It is expected to extend towards 1.0660 later.

In both the H1 and H4 charts, the pair has been reaching lower lows and lower highs. Intraday support is found at 1.1025, 1.0970, and 1.0930. Resistance is seen at 1.1080 and 1.1130. Until the pair closes below 1.1200, use rises to sell with a target at 1.0900.