Guest Commentary: MarketVisionTV - Euro becomes the Nasty Trade...Adding to Longs
* Euro has scope to rally further within broad consolidation to 1.3420
* But an analogy with the 1.30 low suggests it could really accelerate short term.
* It therefore needs to maintain short term momentum.
We remain bullish and long the Euro for a larger recovery within broad medium term consolidation. Indeed following the constructive rally to 1.3285 and subsequent three wave corrective retracement to the ideal 1.3135 50% target, the Euro still has a window to break through the 1.3285-1.3300 resistance band to confirm and accelerate the rally to the outstanding 1.3420 c=a target.
But... given the similarity between the rally from 1.3135 and initial strength from the 1.30 low, the pullback to the double trend confluence also the 61.8% at 1.3195 suggests the Euro may be the equivalent of the arrow here and therefore poised to break up not just to the very conservative 1.3350 equality target nor 1.3420 but en route to 1.3595 the 1.618. Failure though to break higher in the next 24-48 hours would suggests the Euro has more consolidation in 1.3135-1.3290 likely B wave range risking 1.3195 and 1.3135 again. Only if this breaks would we be forced to concede
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