Today's Support and Resistance levels:
R3: 129.14
R2: 128.68
R1: 128.45
Current Spot: 127.76
S1: 127.71
S2: 127.28
S3: 126.76
Technical overview:
We saw a new attempt to break below strong short-term support at 127.28 yesterday. This attempt failed, but it is as the downside pressure is getting stronger and stronger. A break below support at 127.28 should get things going towards the downside and indicate a new decline towards strong medium-term support at 124.96 and only a clear break below here will open up for our ideal wave 2 target at 118.73. However, as long as support at 127.28 is protecting the downside we could see a new test of the falling channel resistance just below 129.00, but it should continue protecting the upside for the break below strong short term support at 127.28.
Trading recommendation:
We are short EUR from 128.20 with stop placed at 129.25. If you are not short EUR already, then sell near 129.00 or upon a break below 127.28 with the same stop at 129.25.
