EUR/USD – 1.1969
Original strategy :
Sold at 1.1970, Target: 1.1870, Stop: 1.2005
Position : – Short at 1.1970
Target :Â – 1.1870
Stop : – 1.2005
New strategy :
Hold short entered at 1.1970, Target: 1.1870, Stop: 1.2005
Position : – Short at 1.1970
Target :Â – 1.1870
Stop : – 1.2005
As the single currency found good support at 1.1861 and has staged a strong rebound, suggesting consolidation above this level would be seen, however, as long as 1.2005 holds, mild downside bias remains for another decline, below 1.1915-20 would bring test of 1.1885-90 but break of latter level is needed to signal the rebound from 1.1861 has ended, bring another fall to this level, then retest of previous support at 1.1838 which is likely to hold on first testing.
In view of this, we are holding on to our short position entered at 1.1970. Above 1.2000 would dampen our bearishness and risk test of this week’s high at 1.2035 but only break there would shift risk back to upside and extend the rebound from 1.1838 to 1.2060-70 first.
