FXstreet.com (Barcelona) - The Euro is weakening further ahead of the U.S session opening and tests levels below support level at 1.3120 hitting a fresh intra-day low at 1.3107.

In case of confirming a bearish move below 1.3120, next support level could lie at 1.3085 and the area between 1.3050/35. On the upside, the Euro might find resistance at 1.3180, and above here , 1.3200 and 1.3230/45.

According to Nicole Elliott, the Euro remains consolidating between moving averages ahead of a further upside test: The Euro bounced from the bottom of a fairly large 'flag' formation and is consolidating between the 9 and 26-week moving averages (...)We favour an upside test this week but we remind that only when the Euro starts holding consistently above the 1.3500 area will something more like a proper rally emerge.

For more information, read our latest forex news.