Daily Pivots: (S1) 1.1647; (P) 1.1684; (R1) 1.1703; More….
EUR/USD’s fall from 1.1848 resumed by breaking 1.1653 support. Intraday bias is back on the downside. Decisive break of 1.1639 resistance turned support will indicate that rebound from 1.1408 has completed as a corrective three-wave move at 1.1848. Deeper fall should then be seen to retest 1.1408 low. On the upside, break of 1.1720 minor resistance will turn bias back to the upside for retesting 1.1848 instead.
In the bigger picture, the strong support from 38.2% retracement of 1.0176 to 1.2081 at 1.1353 suggests that the pullback from 1.2081 is more likely a corrective move. Strong support was also found in 55 W EMA (now at 1.1539). Focus is back on 1.2 key cluster resistance level. Decisive break there will carry long term bullish implications. Nevertheless, break of 1.1408 support will revive the case of medium term bearish trend reversal.
