Today's Support and Resistance levels:
R3: 1.5650
R2: 1.5628
R1: 1.5615
Current spot: 1.5615
S1: 1.5567
S2: 1.5546
S3: 1.5516
Technical summary:
Since the August 2013 high at 1.7274, a major X-wave has been unfolding. This X-wave could have terminated with the test of 1.5478, just above the 78.6% corrective target of the rally from 1.4966 to 1.7274 at 1.5460. If the X-wave is indeed over, we will ideally see support in the 1.5546 - 1.5567 area for a break above resistance at 1.5650 and more importantly above resistance at 1.5706, that will confirm that a long term bottom is in place for a major rally higher to above the August 2013 high at 1.7274.
Trading Recommendation:
We bought EUR at 1.5585 and will place our stop at 1.5470. If you are not long in EUR yet, then buy EUR near 1.5546 with the same stop at 1.5470.
