By: Colin Jessup
On February 16 the Euro touched the 50% retracement level from its reversal on January 16 to the 60 day high at 1.3320 and has now worked its way back up towards that high. Yesterday, the pair touched the Weekly R1 at 1.3293 and backed off closing much lower that day. In today's trading, the Euro showed slightly bullish action and appears to be continuing that trend for the time being. At the time I write this, the pair is testing the Daily R! at 1.3273, breaking a Flag Formation on the 4 hour chart. Price will need to break 1.3293 and hold above to continue what the bears have started. Farther up we see more resistance at 1.3335, a monthly resistance zone and then a straight shot up to 1.3442. To the downside there is support at 1.3242 and 1.3218 with 1.3133 acting as the weekly pivot and additional support. I am Bullish on this pair, especially so once we break above 1.3321.
Happy Trading!