Today's Support and Resistance levels:
R3: 1.6464
R2: 1.6425
R1: 1.6398
Current Spot: 1.6347
S1: 1.6304
S2: 1.6258
S3: 1.6219
Technical summary:
The messy and hard-to-read consolidation is continuing. We did see a break below support at 1.6267 yesterday, which should have caused a stronger downside pressure than we did see. We now have two opposite formations building at the same time and this has become a tuck of war between the bulls and the bears. A break below support at 1.6219 will trigger a S/H/S top formation for a continuation lower towards 1.6071 and 1.5872. However, a break above resistance at 1.6405 will likely trigger a new test of the possible inverted S/H/S neckline near 1.6495 and a break above here should be bullish in the long term.
Trading recommendation:
Our selling point at 1.6255 was triggered yesterday. Keep you stop and reverse to a long EUR-position at 1.6410 for now.
