Prices are testing rising channel support set from late December, now at 88.08. A break below that targets the 38.2% Fibonacci retracement at 87.44. Near-term resistance is at 88.56, the 38.2% Fib expansion, with a push above that aiming for the 50% level at 89.09.

4hr Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com

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