A break above minor resistance at 121.26 will confirm that red wave ii has been completed with the test of 120.26 and red wave iii towards 123.55 is in motion. Short-term support is seen at 120.70. This level will ideally protect the downside for a break above 121.26 and set the stage for more upside progress towards 123.55 and longer-term much higher levels.
Only an unexpected break below 120.26 will delay the expected rally and call for a dip to 119.87 before moving higher again.
R3: 121.78
R2: 121.48
R1: 121.26
Pivot: 121.00
S1: 120.83
S2: 120.70
S3: 120.26
Trading recommendation:
We are long EUR from 117.25 with our stop placed at 119.00
