Price: 1.3545

Bias: Take While 1.3515 supports look for 1.3606 initially before a second pullback and final rally to 1.3650-65

Daily Bullish:
The 1.3394-1.3423 area held perfectly and has generated a steady recovery and I still feel this has some way to go. However, do not expect this to be direct - more likely quite choppy€¦ I'm looking for the 1.3515 area to support on the current decline and for a move higher to 1.3606. Once again look for a correction from there back to 1.3535-55 and then back higher again to the 1.3606 area a second time, a correction and then a final rally to the 1.3650-65 area which I feel will cap for losses.

MT Bullish:
18th May: I am naturally disappointed with the break lower but it seems as if 1.3720 satisfied the lower target at 1.3695 and thus we're in a pullback but which should remain above 1.3394-1.3423 but then suffer a sideways consolidation below 1.3665-85 before the next leg higher to 1.4280-00...

Daily Bearish:
We're seeing the correction higher as expected and there will likely be short term selling opportunities at the 1.3606 resistance but then a larger opportunity by late today up at the 1.3650-65 area (max 1.3685). I feel this will be strong enough to take price lower in another choppy decline to the 1.3440-60 area once again. Only a break below 1.3440 would threaten the 1.3407-22 area again. I feel it will still hold. However, note next support at 1.3342...

MT Bearish:
18th May: I still remain MT bullish look for 1.3394-1.3423 to hold this correction - at most 1.3342. Thus, only a break of 1.3340 would highlight a much more bearish structure and therefore initial losses to 1.3245-62 but later much lower.

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 now available on the Daily Forecast page of my web site.

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