Daily Pivots: (S1) 1.1431; (P) 1.1446; (R1) 1.1460; More…
EUR/USD’s decline is still in progress despite some loss of downside momentum. Intraday bias stays on the downside. Next target is 100% projection 1.1908 to 1.1523 from 1.1691 at 1.1306, which is close to long term fibonacci level at 1.1289. We’d pay attention to bottoming signal there. On the upside, above 1.1512 minor resistance will turn intraday bias neutral first. But overall near term outlook will stay bearish as long as 1.1691 resistance holds, even in case of strong rebound.
In the bigger picture, there are various ways of interpreting the fall from 1.2348 (2021 high). It could be a correction to rise from 1.0635 (2020 low), the fourth leg of a sideway pattern from 1.0339 (2017 low), or resuming long term down trend. In any case, outlook will now stay bearish as long as 1.1703 support turned resistance holds. Sustained break of 61.8% retracement of 1.0635 to 1.2348 at 1.1289 could pave the way back to 1.0635.
