Bias: I feel there is still room for losses to around 1.3800-10 but then a recovery€¦
We appear to be in a very, very messy irregular triangle and thus we need to be careful at all stages. The ideal route for this would be for losses from the current area to extend down to around 1.3800-10. If this is seen then look for reversal patterns there as I feel a move higher is still needed before the MT downtrend can continue. Any earlier break above the 1.4000-11 pivot area would provide an earlier recovery up to the 1.4045-65 area at least but we should also allow for 1.4108. Only above 1.4110 would generate final rally to the 1.4177-1.4212 resistance before reversing.
25th June: The rally stalled below the favored 1.4177-1.4212 resistance and only a move now above 1.4108 would resurrect the possibility if seeing this test. If seen I feel it will provide a good selling area.
The peak at 1.4137 and deep losses appears more indicative of a bearish stance - for now anyway. I'd like for this morning's 1.3867-70 peak to cap and cause a retest down at the 1.3887 low and then follow-through below 1.3839 and most likely to 1.3800-10. However, take care here as I feel this may well cause a reversal higher. Thus, only below 1.3770-00 would then retest and break the 1.3747 low and cause stronger follow-through to 1.3807-28 and onwards with the next support areas way lower at 1.3619 and 1.3558...
25th June: I feel that the corrective structure has turned into a messy triangle that should have a low today around 1.3800 and should be followed by a move to 1.3945-65. Once this is complete the next larger leg lower should be seen and penetrate the 1.3747 low easily.
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