Daily Pivots: (S1) 1.1192; (P) 1.1248; (R1) 1.1278; More…..
EUR/USD retreats notably after hitting 1.1304 and intraday bias is turned neutral first. Further rise will remain in favor as long as 1.121 resistance turned support holds. Above 1.1304 will extend the rebound from 1.1107 short term bottom to 1.1448 key resistance next. However, break of 1.1215 will turn bias back to the downside for retesting 1.1107 low instead.
In the bigger picture, down trend from 1.2555 (2018 high) might still be in progress. Such decline would target 78.6% retracement of 1.0339 (2016 low) to 1.2555 (2018 high) at 1.0813 on resumption. However, break of 1.1448 resistance would confirm medium term bottoming, on bullish convergence condition in daily MACD. In such case, stronger rebound should be seen to 38.% retracement of 1.2555 to 1.1107 at 1.1660. We’d look at the structure of the rebound to decide whether it’s a corrective rise later.
