• The market is still struggling with key-pivotal resistance 1.7044/49 (2009 high/2005 low) which needs to be broken decisively in order to eliminate or at least delay the imminent setback risk.
• Below, the risk of at least retracing back to 1.6314 (minor 38.2 %) and to 1.6198 (weekly breakout line) remains fairly high whereas a decisive break above 1.7049 would open additional upside potential to 1.7332 and to 1.7768 (50 %/C = A). To support a stronger setback it on the other hand takes a break below 1.6924 (minor 38.2 %).
JP Morgan