Daily Pivots: (S1) 1.2007; (P) 1.2058; (R1) 1.2093; More…
Intraday bias in EUR/USD remains mildly on the downside at this point. It’s now in the third leg of the corrective pattern from 1.2348. Deeper fall would be seen to 1.1951, and then 100% projection of 1.2348 to 1.1951 from 1.2168 at 1.1771. For now, risk will stay on the downside as long as 1.2168 resistance holds.
In the bigger picture, rise from 1.0635 is seen as the third leg of the pattern from 1.0339 (2017 low). Further rally could be seen to cluster resistance at 1.2555 next, (38.2% retracement of 1.6039 to 1.0339 at 1.2516). This will remain the favored case as long as 1.1602 support holds. We’d be alerted to topping sign around 1.2516/55. But sustained break there will carry long term bullish implications.
