FXstreet.com (Barcelona) - The Euro returned to levels above 1.4200 on Wednesday after its decline to 1.4085 two-weeks low during previous days, which, according to Nicole Elliott, senior technical analyst at Mizuho Corporate band, was corrective.
Elliott affirms that Dollar weakness will resume shortly: The Euro is no longer overbought and one-month at-the-money implied volatility has picked up a little. We feel that price action from last week's high is corrective and that the long term trend to US dollar weakness will resume shortly.
As concerning todayÂ´s strategy, Elliott advices to attempt longss at 1.4070: Attempt longs at 1.4260, adding to 1.4200; stop below 1.4080. Short term target 1.4300, then 1.4400.