Daily Pivots: (S1) 1.2327; (P) 1.2432 (R1) 1.2501; More….
EUR/USD reached as high as 1.2537 and breached 1.2494/2516 cluster resistance. Subsequent retreat indicates temporary topping and turns intraday bias neutral first. At this point outlook will remain bullish as long as 1.2222 support holds. Sustained break of 1.2494/2516 will target 100% projection of 1.0569 to 1.2091 from 1.1553 at 1.3075 next.
In the bigger picture, rise from 1.0339 medium term bottom is still seen as a corrective move for the moment. But key fibonacci level at 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516 is looking vulnerable. Sustained break of 1.2516 will carry larger bullish implication and target 61.8% retracement of 1.6039 to 1.0339 at 1.3862. Nonetheless, rejection from 1.2516 will maintain long term bearish outlook and keep the case for retesting 1.0039 alive.
