Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
FOREXAnalysis: Bigger picture, a EURUSD head and shoulders top would be confirmed on a drop below 1.2743. Only above 1.3028 would suggest something bigger on the upside. Expect resistance from 1.2910 to 1.2934. The former is the underside of the broken downward sloping channel. The latter is the 4/4 reversal day close and 61.8% retracement of the rally from 1.2744.
FOREX Trading Strategy: No change - Breakout trading is warranted. I’m bearish against 1.3035. Look for resistance near the downward sloping dashed line in the coming days…the line is at about 1.2912 on Tuesday.
LEVELS: 1.2744 1.2795 1.2845 1.2907 1.29341.2988