Bias: I feel there is probably risk of one final marginal low around 1.0217-33 before the uptrend resumes
As I had warned we'll need a break above 1.0378 to really confirm the uptrend is back on course. Until then there is still risk that we could see one final marginal new low and I favor this to be around the 1.0217-33 area. If seen then watch for a bullish set up there. Only an earlier direct break above 1.0370-78 would trigger follow-through immediately and then look for a move through the 1.0420 peaks and onto the 1.0506 high. I wouldn't be too surprised if this move reached the daily pivot resistance around the 1.0540-60 area...
4th January: There is no change to my view that we're to see the corrective upmove continue but we could see a holding pattern before the break above 1.0506. Only breach indicates a test of 1.0560 and a small risk of a short term cap. Larger targets remain at 1.0669 (favored) & 1.0825.
Cautiously I feel we should see a final move lower and a break below the 1.0317 low seen already could be the catalyst. Below here are potential stalling areas at 1.0284 and probably 1.0264. This support could provide a correction but once complete look for losses to extend into the 1.0217-33 support. Ideally I think this will hold for a larger reversal higher. Thus, only below 1.0210 would extend through to 1.0168-85 and at most 1.0141.
7th January: I remain basically bullish and prefer to wait for a test of the 1.0667 area at least. Only an earlier break below 1.0210 followed by 1.0140 would cause some concern and suggest slippage back to 1.0034-50 and possibly the 0.9959 corrective low.
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