Daily Pivots: (S1) 1.1560; (P) 1.1625; (R1) 1.1661; More…
EUR/USD’s fall continues today and reaches as low as 1.1588 so far. Sustained break trading below there will argue that it’s at least in a deeper correction to rise from 1.0635 and target 1.1289 medium term fibonacci level. On the upside, above 1.1683 minor resistance will turn intraday bias neutral and bring consolidations first. But risk will stay on the downside as long as 1.1908 resistance holds.
In the bigger picture, sustained break of 1.1602 will argue that rise from 1.0635 (2020 low) has completed at 1.2348. Deeper fall would be seen to 61.8% retracement of 1.0635 to 1.2348 at 1.1289. Note also that the firm break of 55 week EMA (1.1830) also carries medium term bearish implication. Firm break of 1.1289 will pave the way to retest 1.0635 low. On the upside, though, break of 1.1908 resistance will revive medium term bullishness and turn focus back to 1.2348 high.
