The Euro closed above Fibo 76.4% barrier at 1.0748 on Thursday, confirming strong bullish stance after Fed.
This signals further upside and full retracement of 1.0827/1.0492 downleg as likely near-term scenario.
The pair is on track for the third consecutive bullish weekly close that confirms the notion.
Overbought near-term studies suggest that final push towards 1.0827 target might be preceded by corrective dip.
Yesterday’s low at 1.0704 marks initial support, ahead of daily cloud top at 1.0681, which is expected to keep downside protected.
However, stronger pullback on end-of-week profit taking cannot be ruled out. Below cloud top, daily Tenkan-sen and Kijun-sen lines offer next supports at 1.0652 and 1.0637 respectively.
Any extension below the latter would weaken near-term structure and risk test of lower breakpoint at 1.0605 (daily Ichimoku cloud base).
Res: 1.0781, 1.0800, 1.0827, 1.0872
Sup: 1.0738, 1.0704, 1.0681, 1.0652
