EUR/USD Outside Day-Resistance at 1.3040
Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
FOREXAnalysis: Wrote yesterday that “the rally from the April low isn’t especially clear from a structural standpoint but the decline from 1.3201 is impulsive while the rally from 1.3001 is corrective and retraced 61.8% of the decline. The implications are for weakness below 1.3001 with price remaining below 1.3201. 1.2919/34 is probably strong support. The level is defined by the 4/4 reversal day close, 61.8% retracement of the rally from 1.2744 and where the decline from 1.3201 would consist of 2 equal legs (assuming price stays below 1.3128).” Continue to look lower as long as price is below Tuesday’s high of 1.3083.
FOREX Trading Strategy: Order to short 1.3040, stop 1.3090, targets 1.2930 and open
LEVELS: 1.2842 1.2919/34 1.2970 1.3045 1.30831.3128