EURUSD (1.2422): The EURUSD touched a fresh 4-year high as the intraday rally saw prices reaching for 1.2537. However, the euro gave back the gains rather quickly with the daily session closing with a doji candlestick pattern. Currently, we see some retracement taking place but the gains could be short lived. Initial support is seen at 1.2281 which could be tested if the downside momentum increases. A break down below this level could see the EURUSD extend the declines down to 1.2090 – 1.2070 levels. To the upside, unless price action closes strongly above the 1.2400 handle on the daily basis, we expect the EURUSD to turn flat near the current highs.
: The EURUSD touched a fresh 4-year high as the intraday rally saw prices reaching for 1.2537. However, the euro gave back the gains rather quickly with the daily session closing with a doji candlestick pattern. Currently, we see some retracement taking place but the gains could be short lived. Initial support is seen at 1.2281 which could be tested if the downside momentum increases. A break down below this level could see the EURUSD extend the declines down to 1.2090 - 1.2070 levels. To the upside, unless price action closes strongly above the 1.2400 handle on the daily basis, we expect the EURUSD to turn flat near the current highs.){kind=link}