The Euro eases on Wednesday, taking a breather after strong four-day rally which peaked at 1.2081 (the highest since early Sep 2017) on Tuesday. Strong uptrend remains intact and underpinned by weak dollar, showing scope for eventual attack at 1.2092 (2017 high, posted on 08 Sep) break of which to extend current wave C of five-wave sequence from 1.1737 towards its 200% Fibonacci expansion at 1.2150 and 1.2166 (Fibo 50% of larger 1.3992/1.0340 descend). Meanwhile, the pair may extend pullback on overbought daily studies towards initial support at 1.2000 (psychological support/Tuesday’s low, with deeper dips seen towards 1.1950 (daily Tenkan-sen) and 1.1922 (rising 10SMA). Buying dips remains favored scenario while 10SMA holds. German jobs data are in focus in the European session while US ISM manufacturing data and FOMC minutes are the highlights of the US session.
Res: 1.2092, 1.2110, 1.2150, 1.2166
Sup: 1.2031, 1.2000, 1.1961, 1.1950
