Price action this morning is dampening the effects of yesterday’s shooting star reversal. The uptrend channel from 1.2877 is still intact and the symmetry target aligns with channel resistance today at 1.3342. One more push higher can complete a larger Wave-(3) of an uptrend that began in November at ~1.27. S/t, the o/n pullback relieved overbought momentum conditions and the Euro bounced off support at Friday’s highs. Post this consolidation at 5-week channel resistance, a break of 1.3308 is expected to push prices to our Wave-5 target of 1.3342. Levels: Support – 1.3229, 1.3190, 1.3144 Resistance – 1.3308, 1.3342, 1.3592.
Nomura