Daily Pivots: (S1) 1.1953; (P) 1.2018 (R1) 1.2056; More….
EUR/USD’s fall is still in progress and is pressing 161.8% projection of 1.2475 to 1.2214 from 1.2413 at 1.1991. Intraday bias remains on the downside and firm break of 1.1991 will target 200% projection at 1.1891 next. On the upside, above 1.2054 minor resistance will indicate temporary bottoming and turn bias neutral for consolidations. But upside of recovery should be limited well below 1.2214 support turned resistance to bring another decline.
In the bigger picture, current decline and firm break of 1.2154 support confirms rejection by 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516. A medium term top should be in place at 1.2555 and deeper decline would be seen back to 38.2% retracement of 1.0339 to 1.2555 at 1.1708 first. We’ll look at the structure and momentum of such decline before decision if it’s an impulsive or corrective move.
