Daily Pivots: (S1) 1.2464; (P) 1.2487 (R1) 1.2529; More….
EUR/USD failed to sustain above 1.2537 and retreated. Break of 1.2456 minor support argues that EUR/USD could be rejected by 1.2537 resistance. Intraday bias is turned back to the downside for 1.2205 near term support. On the upside, break of 1.2555 will revive the bullish case and extend larger up trend to o 100% projection of 1.0569 to 1.2091 from 1.1553 at 1.3075.
In the bigger picture, key fibonacci level at 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516 remains intact. Hence, rise from 1.0339 medium term bottom is still seen as a corrective move for the moment. Rejection from 1.2516 will maintain long term bearish outlook and keep the case for retesting 1.0039 alive. However, sustained break of 1.2516 will carry larger bullish implication and target 61.8% retracement of 1.6039 to 1.0339 at 1.3862.
