Today's Support and Resistance Levels:
S1: 111.26 R1: 112.14
S2: 110.81 R2: 113.68
S3: 110.45 R3: 114.17
Technical Overview:
With the break above 111.43 we have had the next long-term confirmation that a very important long-term bottom is in place at 94.10. With the break above 111.43 we should also be looking forward to a test of the next major resistance at 113.68 soon. Will 113.68 mark a top? It is not likely, it will rather mark a short-term top for yet another minor or even sub-normal correction before the next advance higher towards 116.38 and likely even 117.17, where wave 3 is 1.618 times longer than wave 1. We had said that we expected this wave 3 to be an extended wave and with the break above 111.43 that seems to be the case. Short-term support will be at 111.26 and again at 110.81.
Trading Recommendation:
We are long EUR from 106.75 and will lift our stop to 109.85. If you are not long EUR already, then use even the smallest setback to enter a long position with the same stop.
