Price:   1.0665

Bias:  We should see a move lower but we will still have to take care

Daily Bullish:

Yesterday's gains, while expected, were stronger than anticipated but I still feel that there is a good chance we have seen the high now. Only a break above 1.0704-13 would open up the 1.0732-53 resistance before turning lower. If this breaks then something else is happening and the risk will be much stronger for 1.0789 minimum and potentially a retest at 1.0832. Above thre note the swing high at 1.0882. More likely I feel there will be a drift lower to the 1.0605-24 area. Watch this as it should cause a pullback at least - so watch for a bullish reversal pattern.

MT Bullish:

28th August: Only a move back above 1.0720 now will return us to consolidation and a possible bullish structure…...

Daily Bearish: 

In spite of the deeper pullback I remain bearish and this is the preferred view. However, I'm not so sure today is going to confirm stronger losses. We have already seen a pullback to the 1.0645-50 support and I feel this will give way to extend losses to the 1.0624-30 pivot support and possibly as far as the 1.0605 pivot support also. I suspect this may well hold today's losses and cause a pullback higher. Thus, only a break of 1.0600-05 would imply a move back towards the 1.0531-43 lows. That needs to break to extend losses towards 1.0458.

MT Bearish:

2nd September:    We did see a deeper pullback but the outlook for losses below 1.0531 to 1.0454 and probably 1.0334-54 remains the greater risk.

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.