eliottWaves_eur-usd_body_eurusd.png, EURUSD Channel Support Near 12800

Prepared by Jamie Saettele, CMT

A new week allows us to reset short term levels for risk management purposes. Last night’s high at 12904 is now the bearish line if you will. Exceeding that level would favor a continuation of strength into 12960 and 12995. Near term support is defined by channel support at 12800. The January low is at 12923 but action at the channel should tip us off to the next larger move (collapse or rebound). Why? A corrective interpretation of the decline from the February high remains valid as long as price is within the channel. A drop below (see NZDUSD recently) the channel would be characteristic of an impulse. Shorts are favored on strength above 12855 against 12904.

LEVELS: 13080 12995 12957 12904 12808 12623