EUR/USD Daily Outlook

Daily Pivots: (S1) 1.5819; (P) 1.5883; (R1) 1.6001; More

EUR/USD consolidates below 1.5964 today but intraday bias remains on the upside as long as 1.5847 minor support holds. As discussed before, consolidation from 1.6019 should have completed at 1.5302 and rise from there represents resumption of the medium term up trend. Hence, further rise is now expected to retest 1.6019 record high first. On the downside, below 1.5487 will turn intraday outlook neutral first but pull back should be contained above 1.5611 support and bring another rise.

In the bigger picture, a medium term top is in place at 1.6019 after meeting 1.6 psychological resistance. As mentioned before, consolidation from there should have completed at 1.5302 already. Further decisive break of 1.6019 will confirm this case and bring rise to 61.8% projection of 1.4309 to 1.6019 from 1.5284 at 1.6341 first. On the downside, however, below 1.5611 support will mix up the picture by firstly suggesting that rise from 1.5302 has completed. Secondly, it will revive the case that consolidation from 1.6019 is still in progress. Retest of 1.5302 support could be seen in such case.

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