Overview:
The EUR/USD's resistance has broken and it was turned to support for two days (10 of July 2013), thus the pair has already formed a strong support at 1.2780 and a minor support will be set at the level of 1.2980. Moreover, it couldn't close below 50% Fibonacci retracements levels and started indicating a bullish market, as well as the price placed above 50% Fibonacci for three days. Additionally, it should also be noted that the price has still been trapped between 50% Fibonacci retracement levels and 78%. Equally important, the RSI and the moving average (50) are still calling for uptrend. Therefore, the market indicates the bullish opportunity on level of 1.2980 at M15 and M30 charts with a first target of 1.3150, and continues towards 1.3200. On the other hand, if the price closes below the minor support then the best location for placing a stop loss should be below 1.2930, thus the price will fall for a bearish market in order to go further towards the strong support at 1.2780 to test it again.
