Guest Commentary: Making the Most Out of EUROphoria
* The Euro has maintained the aggressive uptrend from the 1.2045 low.
* Bullish or Bearish ultimately, the current push should not be sustained beyond our clear targets in the 1.2880-1.2980 range.
* We have therefore started selling in a flexible multiple of three looking in the short term to buy 1.28 or lower.
The Euro has broken up beyond the 5=1 objective of 1.2880 in a seemingly euphoric attempt at the 1.2980 previous pivot. Euphoric because however we treat the important 1.2635-1.25 correction, this last push should still be ending a trend sequence from 1.25.
We have therefore started selling for an initial return to 1.2880 (the extension point) and possible 23.6% retracement with potential later for at least 1.2800 the prospective 38.2%. Even from a bearish perspective this decline should fade above the previous 1.2750 low at first for a period of pivotal 1.2750-1.2980 consolidation.
At this point it is tempting to look to buy this drop with 1.2635 stops but for now we are selling with 1.3010 stops.
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