EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.1532; (P) 1.1552 (R1) 1.1574; More…..

EUR/USD’s rebound suggests bottoming at 1.1529. Focus is back on 1.1610 minor resistance. Break will indicates that the consolidation pattern from 1.1509 has started another rise leg. Intraday will be turned back to the upside for 1.1745 resistance, and possibly above. Still, we’d expect strong resistance from 1.1851 to limit upside to bring down trend resumption eventually. On the downside, decisive break of 1.1507 key support will resume larger down trend from 1.2555 through 50% retracement of 1.0339 to 1.2555 at 1.1447.

In the bigger picture, EUR/USD was rejected by 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516. And, a medium term top was formed at 1.2555 already. Decline from there should extend further to 61.8% retracement of 1.0339 to 1.2555 at 1.1186 and below. For now, even in case of rebound, we won’t consider the fall from 1.2555 as finished as long as 1.1995 resistance holds.