Today's Support and Resistance Levels:
S1: 1.5931 R1: 1.5993
S2: 1.5912 R2: 1.6057
S3: 1.5879 R3: 1.6138
Technical Overview:
The warning from the "Hidden Divergence" did a perfect job, telling us that this rally would become very powerful. We are already back at the middle of the base channel, but we are not sure, that there will be time for a proper correction before the next move higher. The risk is we will only see a minor correction down to 1.5912 and maybe down to 1.5879 before the next move higher towards 1.6087 and 1.6217. In the long term we are looking for a rally higher towards 1.6772, a target that will be confirmed once resistance at 1.6217 is broken.
Trading Recommendation:
We are long EUR from 1.5655 and will raise our stop to break-even. If you are not long EUR already, use even minor corrections to buy EUR with the same stop.
