EURUSD (1.2049): The EURUSD continued to edge higher as price advanced to a fresh 4-month high at 1.2090 before easing back. The euro is now within reach of 1.2090 resistance which could be tested in the short term. Further gains can be seen coming on a close above this level. To the downside, the declines could be limited to 1.1954 level where support is most likely to be established. This could also become the new range for EURUSD in the short term. Watch for a potential exhaustion to the upside momentum in the short term for a possible correction. Unless we see a strong breakout that will justify further gains.
