The 102.86 zone thwarted our call for a rally to the mid 103’s; this has now acted as important support & resistance. Now any break through that level can be viewed as a decisive signal of further gains to come. We still view the fall from January as a corrective decline so until the strong Fib support is taken out at 100.77 our bias will be for a sideways range and eventual 5th wave rally of large degree. (daily) S/t, we expect 102.86 is marking the top of a small sideways range with support between 101.59/39. A move down to support can mark wave-c of this small consolidation and set the stage for the rally to the mid 103’s in the coming days/week. (hourly) Levels: Support – 101.77, 101.59, 101.39 Resistance – 102.42, 102.86, 103.44/72
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Nomura