Having broken above the daily descendant trend line coming from 1.3172, the EUR/USD extended its advance to 1.2960 today. The level converges with the 38.2% retracement of the latest daily fall, acting as static resistance in the short term; price is back above 20 SMA, that lost its bearish slope and turned flat, currently around 1.2890 while indicators regained positive territory, although not showing much bullish strength at the time being.
As long as above 1.2900, the downside seems limited, with a recovery and a break of the daily high and Fibo, pointing for a continuation rally towards 1.3040, 61.8% retracement of the same rally. Lose of 1.2890 will deny further intraday gains and see the pair giving up some ground, with 1.2830/40 as next probable bearish target.
View Live Chart for EUR/USD
As long as above 1.2900, the downside seems limited, with a recovery and a break of the daily high and Fibo, pointing for a continuation rally towards 1.3040, 61.8% retracement of the same rally. Lose of 1.2890 will deny further intraday gains and see the pair giving up some ground, with 1.2830/40 as next probable bearish target.
View Live Chart for EUR/USD
