EUR/USD’s Brief Pull Back
The pair rose to 1.1711, but then briefly pulled back. Impulse in 4 hour MACD is feeble and it’s holding under the signal level. Trading tone is neutral. Following pivot points include: (S1) 1.1613; (P) 1.1662 (R1) 1.1696.
Consolidation is awaited. Downside should be restrained over 1.1444 resistance turned support, causing further rally. Over 1.1711, EUR/USD will align 1.2 handle.
According to bullish convergence in weekly MACD, the pair has created a significant bottom at 1.0339. Choppy breach of 55 month EMA will align the key fibonacci level at 38.2% retracement of 1.6039 to 1.0339 at 1.2516. The increase from 1.0339 is sustained, but long term uptrend is unlikely. Firm resistance from 1.2516 might bound the upside. If 1.1295 support stands, medium term prognosis stays bullish.