The lack of a sustained downtrend from December’s reversal shifted our outlook and the idea that another test (or marginal breakout) of 1.39 was likely. Near-term resistance from the 2008 downtrend and wave-d triangle target surfaces at 1.3833. Ideally, another pullback towards 1.3643/1.3562 would then unfold. (daily) S/t, the breakout above 1.3773 now represents new support and below there could see further weakness to 1.3727. Upper channel resistance does not surface until 1.3855 but daily resistance is expected to halt this rally at lower levels. For today the key range is 1.3773 to 1.3833. (hourly) Conviction: Med Levels: Support – 1.3773, 1.3727, 1.3694 Resistance – 1.3813, 1.3833, 1.3855
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