Daily Pivots: (S1) 1.0055; (P) 1.0127; (R1) 1.0193; More…
EUR/USD’s break of 1.0031 minor support argues that rebound from 0.9863 has completed at 1.1097 already. Rejection by 55 day EMA and channel resistance retains near term bearishness. Intraday bias is back on the downside for retesting 0.9863 low first. Firm break there will resume larger down trend. On the upside, sustained trading above 55 day EMA (now at 1.0169) raise the chance of larger trend reversal, and target 1.0368 resistance.
In the bigger picture, down trend from 1.6039 (2008 high) is still in progress. Next target is 100% projection of 1.3993 to 1.0339 from 1.2348 at 0.8694. In any case, outlook will stay bearish as long as 1.0368 resistance holds, in case of strong rebound. However, firm break of 1.0368 will confirm medium term bottom at 0.9863 already.
