Following strong risk on-markets in Asia, Euro is trading generally higher against Dollar, Yen and Swiss Franc. Considering that respectively pairs have just drew support from near term support levels, there is prospect of a stronger rebound in the common currency today.
EUR/CHF recovered after touching 1.0737 near term support level. 4 hour MACD’s cross above signal line indicates stabilization. Focus is back on 1.0787 support turned resistance. Firm break there will argue that the three wave corrective fall from 1.0890 has completed. That would also retain near term bullishness for another up-move through 1.0890.
EUR/JPY also recovered after breaching 38.2% retracement of 121.63 to 127.48 at 125.24 briefly. Focus is back on 125.91 minor resistance. Firm break there will argue that the pull back from 127.48 has completed earlier than expected. That would bring stronger rally for a retest on 127.48 high.
Recovery in EUR/USD is relatively weaker comparing to the above two pairs. Though, 4 hour MACD’s cross above signal line does suggest stabilization, after hitting 1.2058 cluster support (38.2% retracement of 1.1602 to 1.2348 at 1.2063). Break of 1.2131 would turn bias to the upside for stronger rebound back towards 1.2348 high.
