EUR/USD Daily Outlook

EUR/USD Daily Outlook

Daily Pivots: (S1) 1.3385; (P) 1.3430 (R1) 1.3497; More....

As noted before, the corrective fall form 1.3710 might have completed at 1.3353 already. Intraday bias in EUR/USD is mildly on the upside for the moment. Sustained trading above 4 hours 55 EMA will bring retest of 1.3710 short term top. Break there will resume recent rally from 1.2042. Though, below 1.3353 would bring deeper fall to 55 days EMA (now at 1.3256) and possibly below before completing the correction.

In the bigger picture, fall from 1.4939 is treated as a falling leg inside the consolidation pattern that started at 1.6039 (2008 high) and has completed at 1.2042 already. Rise from 1.2042 is viewed as another leg inside the consolidation pattern for the moment. But we'll pay close attention to whether EUR/USD shows sign that it's developing into a long term up trend. Meanwhile, we'll now stay medium term bullish as long as 1.3 psychological level holds.