Today's Support and Resistance levels:
S1: 1.5785 R1: 1.5847
S2: 1.5757 R2: 1.5867
S3: 1.5701 R3: 1.5920
Technical overview:
We are looking for a very powerful decline, which may unfold soon. A break below 1.5776 will likely be the catalyst for this decline; until we break below 1.5776, we must accept a more or less directionless trading between 1.5776 and 1.5847. But once support at 1.5776 gives away, we will be looking for a decline to at least 1.5638 and will not be surprised to see this levels break without a fight for a continuation lower towards 1.5509. That said, we must be aware of the possibility for a move above 1.5847, but it will likely only be to 1.5867 before the downside pressure takes over again.
Trading recommendation:
We are short EUR from 1.5915 and will move our stop lower to 1.5940. If you are not short EUR yet, then sell near 1.5847 or upon a break below 1.5776 (one order done cancels the other) with the same stop.
