The market has managed to trade away from key-support at 1.3477 (2014 low) which supports our view that a stronger bounce (wave 2 or wave B) could be looming.
The latter is normally retracing 76.4 % (1.3877) of the preceding decline (wave A or wave 1) where a perfect risk reward would be given to re-enter a strategic short position in anticipation of a C.-or 3rd wave decline. But for a broader bounce to be confirmed it would still take breaks above 1.3672 and 1.3676 (200 DMA/pivot).
JP Morgan