Technical outlook:
EUR/USD rallied through the 1.1660-70 levels at the time of writing, taking out initial resistance at 1.1640-50. The single currency pair could be producing a pullback to 1.1570-90, before resuming its rally. Probability also remains for a continued rally towards 1.1900-1.2000 before pulling back again.
Either way, EUR/USD remains bullish against the 1.1500 level, going forward. If there is a retracement to the 1.1570-90 mark, it should be considered as yet another opportunity to initiate fresh long positions. The immediate price resistance is now around 1.1750, followed by 1.1850 and higher, while the interim support is around the 1.1500 mark .
The counter trend rally is now gathering momentum after several days of the lull price action. Bulls are now looking poised to push towards the 1.1950 levels, which is Fibonacci 0.618 retracement of the entire drop between 1.2266 and 1.1524 . Also note, probability remains for a continued rally above the 1.2350 mark.
Trading plan:
Potential rally is towards 1.1950, against 1.1500
Good luck!
