Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0
FOREXAnalysis: The rally from the April low isn’t especially clear from a structural standpoint but the decline from 1.3201 is impulsive while the rally from 1.3001 is corrective and retraced 61.8% of the decline. The implications are for weakness below 1.3001 with price remaining below 1.3201. 1.2919/34 is probably strong support. The level is defined by the 4/4 reversal day close, 61.8% retracement of the rally from 1.2744 and where the decline from 1.3201 would consist of 2 equal legs (assuming price stays below 1.3128).
FOREX Trading Strategy: Although looking for a drop into 1.2920/30, another test of 1.3128 isn’t out of the question so I don’t like doing anything here.
LEVELS: 1.2842 1.2919/34 1.2970 1.3083 1.31281.3175