The lack of any down trade from the catalogued reversal at 1.39 forced us to step back and reexamine the Euro. 2 patterns jumped out, first there is a possible bullish triangle forming on the daily chart and second, there is a bullish triangle forming on the hourly chart. This implies another test of the major resistance zone near 1.39. (daily) S/t, one more push up can complete resolve the hourly triangle and at the same time complete wave-D of the larger daily triangle. Look for resistance at 1.3807 followed by another drop towards 1.36 to complete the final leg of the consolidation. Intraday resistance is 1.3770 with support at 1.3700. (hourly) Conviction: Med (slight shift to neutral near-term from bearish) Levels: Support – 1.3715/10, 1.3700, 1.3680 Resistance – 1.3775, 1.3820, 1.3848
Read the full report: EURUSD
Nomura