Daily Pivots: (S1) 1.2140; (P) 1.2191; (R1) 1.2227; More

EUR/USD’s break of 1.2108 support argues that rebound from 1.1951 might has completed at 1.2242. Intraday bias is back on the downside for 1.2022 first. Break there will likely extend the corrective fall from 1.2348 through 1.1951 support. On the upside, above 1.2242 will bring retest of 1.2348 high instead.

In the bigger picture, rise from 1.0635 is seen as the third leg of the pattern from 1.0339 (2017 low). Further rally could be seen to cluster resistance at 1.2555 next, (38.2% retracement of 1.6039 to 1.0339 at 1.2516). This will remain the favored case as long as 1.1602 support holds. We’d be alerted to topping sign around 1.2516/55. But sustained break there will carry long term bullish implications.

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