EUR/USD weekly technical analysis: Upside Resumes !
Recommendations: Buy positions between 1.2802 -1.2927 with targets @1.3060 &1.3150.
Comment: As long as1.2802 holds with RSI above 40, Upside Resumes, below 1.2802 might extend the consolidation from 1.3171 through 1.2740/700, however ; 1.2960/1.2860 is supposed to contain any bearish correction !
Resistance: 1.3060, 1.3150, 1.3250
Support: 1.2960, 1.2865, 1.2770
EUR/USD medium/long term technical analysis: Consolidation with bullish bias!
In the short / medium picture, Below 1.3070 would suggest that consolidation from 1.3171 is resuming and might extend through 1.2740 levels; however this level is supposed to contain the consolidation from 1.3171, but a clear break below this level with a daily close would threat 1.2500 levels, but in return stability above 1.3070 would target 1.3171, above 1.3171/1.3200 would suggest that recent rise from 1.2042 is resuming and target 1.3485, 50% retracement (1.2042 – 1.4939).
In the bigger picture, fall /consolidation from 1.6035 was resumed by the bearish breakout at 1.3882 – Sept 2008 low – the bearish scenario was protected during 2009 & 2011 by the high of the same month at 1.4866, so in the long term view this is a perfect place - 1.3882/1.4866- for short positions, only a clear break above 1.4866 would suggest that fall /consolidation from 1.6035 is over and target 1.6035!
The downside of 1.6035 was contained by 1.2485 – Aug 2005 high – and 1.1640 – Nov 2005 low - so in the long term view this is a perfect place - 1.1640 /1.2485 - for long positions.
Conclusion: In the short / medium outlook, as long as 1.2485 holds I’m bullish on the EURUSD, technical targets are around 1.3882/1.4866 levels, but the pair needs to surpass 1.3200/1.3485 first, below 1.2485 I’m bearish and looking for 1.1640 !
Comment: my personal view, the consolidation from 1.6035 is supposed to resume between 1.1640-14866 for the next 2 or 3 years but , however I believe the long term trend would resume and extend beyond 1.6035 during the next 5 years..