EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.1552; (P) 1.1587; (R1) 1.1609; More…..

EUR/USD’s break of 1.1534 minor support argues that corrective rebound from 1.1431 has completed at 1.1621 already. Intraday bias is turned back to the downside. Break of 1.1431 will resume whole decline from 1.1814 and target a test on 1.1300 low. On the upside, above 1.1621 will delay the bearish case and bring another rebound. But then, upside should 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.