Intraday bias in EUR/USD remains mildly on the downside for the moment. At this point, there is no clear sign of trend reversal yet. Thus, we'd still watch out for strong support from 1.3642 to bring rebound. Above 1.3844 will turn bias back to the upside for retesting 1.3966. However, we'd also like to point out the possibility that rise from 1.2755 could have completed with five waves up to 1.3966. Break of 1.3642 will at least confirm near term reversal and target 1.3476 support next.
In the bigger picture, overall price actions from 1.6039 is viewed as a corrective pattern. The choppy rise from 1.2042 is seen as a leg inside the pattern. Such rally is having a corrective look and upside momentum is not too convincing. Thus, while further rise should be seen in medium term, we'd expect strong resistance from 100% projection of 1.2042 to 1.3710 from 1.2755 at 1.4423. to limit upside and bring reversal. Nonetheless, break of 1.3476 support is needed to be the first sign of medium term topping. Otherwise, outlook will stay bullish.
No comments:
Post a Comment