Daily Pivots: (S1) 1.1832; (P) 1.1867 (R1) 1.1905; More….
The firm break of 1.1862 minor resistance suggests that pull back from 1.1960 has completed at 1.1717 already. More importantly, 1.1712 cluster support (61.8% retracement of 1.1553 to 1.1960 at 1.1708) remains intact. And near term outlook in EUR/USD stays bullish. Intraday bias is back to the upside for 1.1960 first. Break there will extend the rise from 1.1553 to retest 1.2091 high.
In the bigger picture, rise from 1.0339 medium term bottom is seen as a corrective move for the moment. Therefore, in case of another rally, we’d be expect 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516 to limit upside and bring reversal. Meanwhile, sustained trading below 55 week EMA (now at 1.1435) will suggest that such medium term rebound is completed and could then bring retest of 1.0339 low.
