EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.1543; (P) 1.1571; (R1) 1.1623; More…..

A temporary top should be in place at 1.1610 and intraday bias in EUR/USD is turned neutral first. On the downside, below 1.1534 minor support will indicate completion of rebound from 1.1431. Intraday bias will be turned back to the downside for 1.1431 and then 1.1300 low. On the upside, above 1.1610 will bring another rebound. But still, we’d expect upside to be limited by 1.1779/1814 resistance zone to bring down trend resumption eventually.

In the bigger picture, corrective pattern from 1.1300 could have completed at 1.1814 after hitting 38.2% retracement of 1.2555 to 1.1300 at 1.1779. Decisive break of 1.1300 will resume the down trend from 1.2555 to 61.8% retracement of 1.0339 (2017 low) to 1.2555 at 1.1186 next. Sustained break there will pave the way to retest 1.0339. On the upside, break of 1.1814 will delay the bearish case and extend the correction from 1.1300 with another rise before completion.