FXstreet.com (San Francisco) - EUR/USD observations by Marc Chandler, Global Head of Currency Strategy at Brown Brothers Harriman: “The euro spent last week consolidating the break of the $1.28 level. That level, which houses retracement objectives and the 200-day moving average (~$1.2810). However, in a larger sense the $1.28 area is also the neck line of the double top pattern (Sept 17 high ~$1.3172 and the Oct 17 high ~$1.3140).”
Mr. Chandler continues: “The minimum objective of the pattern is around $1.2450, which is just beyond the 61.8% retracement of the euro's Q3 rally. The significance of the $1.28 area implies that if the euro moves above there the price action ought to be respected.”
EUR/USD now exchanges at 1.2760.