Bias: The move higher does not yet look complete and while 1.0664-79 supports I look for 1.0857-03
The bearish divergence still remains present in the 8-hour chart but has not been supported by the lower time frames yet. Therefore I feel we are due one more rally. However, early trading could well remain in a range between 1.0664-79 and 1.0767-79 before seeing the last leg higher. Thus a break above 1.0779 would extend gains through to 1.0857-66 at least and potentially 1.0903. I feel this will complete the rally. However, do also keep in mind the 1.0946 resistance.
8th February: It looks like a slightly higher target around 1.0857-66 is the favored peak but we should also keep in mind the 1.0903 & 1.0946 resistance levels.
I still feel there needs to be another push higher and therefore only a break below the 1.0664-79 area would cause some weakness through to 1.0623-44 again. It is break of this lower support at 1.0623 that would threaten a total reversal and a return to the 1.0545 low. Also note the next support at 1.0487.
8th February: We have seen the 1.0784-03 area reached but there still seems more chance of seeing 1.0857-66 and at most 1.0903-46. Thus look for bearish trade set ups at the higher resistance levels. Only an earlier break below 1.0623 and 1.0545 would generate stronger losses directly.
For access to my daily support & resistance levels please see the Daily Forecast page of my web site
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.