Daily Pivots: (S1) 1.0323; (P) 1.0376; (R1) 1.0462; More…
EUR/USD’s rally resumed by breaking through 1.0496 and intraday bias is back on the upside. Next target is 1.0609 fibonacci level. On the downside, break of 1.0289 support is needed to indicate short term topping. Otherwise, further rally will remain in favor in case of retreat.
In the bigger picture, a medium term bottom was in place at 0.9534, on bullish convergence condition in daily MACD. Even as a corrective rise, rally from 0.9534 should target 38.2% retracement of 1.2348 (2021 high) to 0.9534 at 1.0609. Sustained trading above 55 week EMA (now at 1.0566) will raise the chance of trend reversal and target 61.8% retracement at 1.1273. This will now remain the favored case as long as 1.0092 resistance turned support holds.
