Bias: I look for early 112.00-113.05 range trading before extending the rally to the 114.11-26 target before reversing
We didn't get very far yesterday with a sideways trading range establishing itself. However, I feel this should end after seeing a test to around 112.90-05 followed by a correction to the 112.00-10 area. Look for bullish trade set ups here. This should allow a move back higher through the 112.90-05 and 113.31 high to extend directly to the 114.13-26 target. Look for bearish trade set ups here.
Only below 111.63-00 would cause concern and suggest a deeper pullback to 111.43 and later 109.80-06 and 109.30. Above 114.30 may allow 114.67 and above there 115.38.
Medium Term Outlook:
18th June: We appear to be in the last leg of the rally to 114.13-26. This should cause a correction at least back to 110.85.
Only directly above 114.70 would imply a stronger follow-through higher.
For a full description of how to use the analysis please see the Analysis page of my website. The prior day's set ups for potential trading levels highlighted in the report are available on the Daily Forecast page of my web site in the Trader Package review. (+0 pips)