Today's support and resistance levels:
R3: 1.5823
R2: 1.5792
R1: 1.5766
Current spot: 1.5731
S1: 1.5723
S2: 1.5701
S3: 1.5680
Technical summary:
Wave 4 dipped a little lower than the ideal 1.5705 target, with the low coming in at 1.5680. We will now be looking for a rally past minor resistance at 1.5792 and more importantly a break above resistance at 1.5877 confirming the wave 4 bottom and that wave 5 higher to 1.6446 and 1.6800 is developing to end the expanding diagonal. Short term, only a break below 1.5680 will invalidate the expected rally higher and call for a move closer to 1.5640.
Trading recommendation:
We bought EUR at 1.5720 and will move our stop higher to 1.5620. If you are not long in EUR yet, then buy near 1.5720 with the same stop at 1.5620.
