Bias: While 1.2325 supports I feel the risk is higher still€¦
Losses did develop that pushed all the way to the 0.7032-49 area€¦ but then pushed straight through to reach 0.6952. I am not sure the downside is complete yet and feel there is still risk of the 0.6894-0.6927 area being tested. Watch this area for a bullish reversal pattern. Only an earlier break above 0.7019 followed by 0.7048 would suggest the low is already in place and if seen this is likely to provoke follow-through higher to 0.7139 at least. Take care here as this could cap for a correction. Next resistance is seen at 0.7183 & 0.7237.
21st April: Yesterday's strength appears to suggest a retest of 1.2713 and I suspect the 1.2300-10 area (max 1.2270) should support to allow the rally to develop. On the way to 1.2713 there is resistance at 1.2553-84.
I still feel the main direction is higher and suspect that the 1.2325 low was the most we'll see for now. I do also note support at 1.2285. For any stronger bearish stance we shall need break of 1.2285 and if seen should accelerate losses down through 1.2245and probably to the 1.2182 area. Take care here as this could stall for a correction. Next support is then found at 1.2156 and 1.2105.
21st April: I don't want to change my overall bearish view but yesterday's rally does seem to threaten a recycling of the correction back to around the 1.2713 high€¦ Only an earlier break below 1.2270 would put us back on track for losses.
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