EUR/USD Daily Outlook
Daily Pivots: (S1) 1.1514; (P) 1.1558; (R1) 1.1585;
EUR/USD is staying in tight range below 1.1622 and intraday bias stays neutral. With 1.1493 minor support intact, further rise could be seen. But rebound from 1.1300 is seen as a correction. Hence, we’d expect strong resistance from 1.1745 to limit upside to bring larger down trend resumption. On the downside, break of 1.1493 minor support will suggest that the rebound is completed. Intraday bias would be turned back to the downside for retesting 1.1300 low.
In the bigger picture, the down trend from 1.2555 medium term is in progress for 61.8% retracement of 1.0339 to 1.2555 at 1.1186. Note again that EUR/USD was rejected by 38.2% retracement of 1.6039 (2008 high) to 1.0339 (2017 low) at 1.2516. That carries some long term bearish implications. Sustained break of 1.1186 could pave the way back to retest 1.0339 low. For now, outlook will remain bearish as long as 38.2% retracement of 1.2555 to 1.1300 at 1.1779 holds, even in case of strong rebound.
EUR/CHF Daily Outlook
Daily Pivots: (S1) 1.1361; (P) 1.1384; (R1) 1.1405;
Intraday bias in EUR/CHF remains neutral for consolidation below 1.1418 temporary top. As long as 1.1329 minor support holds, further rise is expected in the cross. On the upside, break of 1.1418 will target 1.1489 support turned resistance. Decisive break will add to the case of trend reversal ahead of key support zone between 1.1154/98. On the downside, below 1.1329 minor support, however, will suggests completion of the rebound. Intraday bias will be turned back to the downside for 1.1242 low. And focus will be back on 1.1154/98 key support zone.
In the bigger picture, for now, the price actions from 1.2004 medium term top is seen as a correction only. Downside should be contained by 1.1198 (2016 high), 61.8% retracement of 1.0629 to 1.2004 at 1.1154 to complete it and bring rebound. This cluster level is in proximity to long term channel support (now at 1.1173) too. A break of 1.2 key resistance is still expected in the medium term long term. However, sustained break of the mentioned support zone will mark reversal of the long term trend.
