FXstreet.com (Barcelona) - The big picture in EUR/USD remains negative as long as 1.3480/1.3520 is not broken decisively, according to JP Morgan FX Straregist Thomas Anthonj.

Anthonj still believes that "The big picture is still favoring the view that the recovery from 1.2746 (April low) is nothing else but a classical 3- step countertrend rally with a maximum upside potential of 1.3483/1.3521 (int. 76.4 %/pivot)."

Amid this bearish view, Anthonj explains how they have opened a strategic short position, "in expectation of a minimum decline to 1.2436/26 and intend to add up either at 1.3450 or on a break below key-support at 1.3177/73 (pivot/minor 38.2 %) as a break below the latter would confirm the countertrend rally top in place" the Strategist notes.

A clear break above 1.3521 would negate Anthonj's bearish view, and may set the stage for what he calls "a much broader recovery in EUR/USD."