EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.3637; (P) 1.3662; (R1) 1.3705; More.

EUR/USD rises further to as high as 1.3795 today and stronger rally could still be seen. Nevertheless, recent price actions from 1.3443 are treated as consolidation to larger decline only. Hence, upside is expected to be limited by 1.3852 resistance to conclude the consolidation and bring fall resumption. Below 1.3622 minor support will flip intraday bias back to the downside first. Further break of of 1.3435 support will confirm fall resumption and should target 161.8% projection of 1.5143 to 1.4217 from 1.4578 at 1.3076 next.

In the bigger picture, outlook remains unchanged. The three wave rise from 1.2329 is treated as consolidation to fall from 1.6039 only and should have completed at 1.5143 already. Fall from 1.5143 is tentatively treated as resumption of the whole down trend form 1.6039 and should target a new low below 1.2329. Break of 1.4217 support turned resistance is needed to invalidate this bearish view. Otherwise, we'd expect fall 1.5143 to continue even in case of strong rebound.

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