Strategy: Short at 1.3526, Targeting 1.2623
Floating Profit / Loss: +394 pips
We initially sold EURUSD at 1.3526. Prices have now completed a bearish Three Inside Down candlestick pattern below resistance at 1.3231, the late-November swing bottom and our revised stop-loss level, hinting the corrective upswing that played out over the past two weeks may be running out of steam. We will continue to hold short, revising our soft target slightly higher to 1.2623, the latest swing low. A daily close above 1.3231 triggers the stop-loss. Initial support lines up in the 1.2927-2966 area.
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
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