Daily Pivots: (S1) 1.1691; (P) 1.1720 (R1) 1.1750; More…..
EUR/USD’s decline is still in progress and reaches as low as 1.1661 so far. Intraday bias remains on the downside and the fall from 1.2555 should extend to 50% retracement of 1.0339 to 1.2555 at 1.1447 next. On the upside, above 1.1750 minor resistance will turn intraday bias neutral first. Further break of 1.1822 support turned resistance will indicate short term bottoming and bring lengthier consolidation.
In the bigger picture, current development suggests that EUR/USD was rejected by 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516. And, a medium term top was formed at 1.2555 already. Decline from there should extend further. Break of 38.2% retracement of 1.0339 to 1.2555 at 1.1708 will pave the way to 61.8% retracement at 1.1186. For now, even in case of rebound, we won’t consider the fall from 1.2555 as finished as long as 55 day EMA (now at 1.2049) holds.
