Today's support and resistance levels:
S1: 1.5751 R1: 1.5800
S2: 1.5718 R2: 1.5831
S3: 1.5670 R3: 1.5856
Technical overview:
Resistance near 1.5880 rejected the test once again yesterday and we are still looking for a break below 1.5718 to confirm a test of the triangle support line at 1.5600, once the triangle support at 1.5600 breaks we are looking for the final thrust towards the downside in the major expanding triangle, which has been developing since early September 2012. The ideal downside target for this last decline is near 1.5200, but we must accept the possibility that a break below 1.5390 will be enough to fulfil all requirements for the expanding triangle. In the short term, we should expect to see minor resistance at 1.5801 to protect the upside for a break below 1.5752 for the next move lower towards important support at 1.5718.
Trading recommendation:
We will short EUR from 1.5858 and will move our stop lower to 1.5890.
