Today's support and resistance levels:
R3: 1.5868
R2: 1.5846
R3: 1.5838
Current spot: 1.5817
S1: 1.5802
S2: 1.5787
S3: 1.5768
Technical summary:
Once again, the correction from 1.5867 became slightly deeper than expected, but this is not uncommon in the beginning of a new impulsive trend. Nothing has changed in the bigger picture and it should just be a question of time before the next impulsive rally takes out resistance at 1.5867 for a rally to at least 1.5900 and likely even higher to 1.6200.
Short-term support will be found at 1.5802, which ideally will protect the downside for the break above 1.5867 confirming that the next impulsive rally is developing.
Trading recommendation:
We are long in EUR from 1.5710. We will move our stop higher to 1.5725. If you are not long in EUR yet, then buy near 1.5802 with the same stop at 1.5725.
