Daily Pivots: (S1) 1.1578; (P) 1.1653 (R1) 1.1700; More…..
EUR/USD drops to as low as 1.1509 so far today. While it recovers mildly since then, it’s kept below 1.1640 minor resistance. Intraday bias remains on the downside for further decline. Current fall from 1.2555 is in progress and should target 50% retracement of 1.0339 to 1.2555 at 1.1447 next. On the upside, above 1.1639 minor resistance will turn intraday bias neutral again. But after all, near term outlook will remain bearish as long as 1.1995 resistance holds, in case of recovery.
In the bigger picture, current development suggests that EUR/USD was rejected by 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516. And, a medium term top was formed at 1.2555 already. Decline from there should extend further to 61.8% retracement of 1.0339 to 1.2555 at 1.1186 and below. For now, even in case of rebound, we won’t consider the fall from 1.2555 as finished as long as 1.1995 resistance holds.