SCENARIO #1:
Since Euro breached 1.3822, which was a significant resistance, we can play a simple bounce off of this level, which has become a support now.
A clear bounce might be a confirmation of strength continuation and then the price might head towards the major resistance at 1.3968.
This level should be also an ultimate target for this long setup.
SCENARIO #2:
Based on the assumption that Euro is strong, a nice opportunity to go long is also at 1.3750, which is also a 61.8 Fibonacci level of the upswing.
Then, I would definitely define the target at 1.3868 – High of the swing.
SCENARIO #3:
Even if Euro retraces to 1.3666, which is the LOW of the swing, still it might be an opportunity to go long off that level.
In this case the target might be 1.3822. But be catious. If the price closes strongly below 1.3666, it might be a time for the bears then.
Petr
YouTube Channel: bit.ly/17jWiog
TWITTER: @FlexibleTrader
E-MAIL: psuchanek@smbcap.com
Blog: bit.ly/1qaZNHk
Since Euro breached 1.3822, which was a significant resistance, we can play a simple bounce off of this level, which has become a support now.
A clear bounce might be a confirmation of strength continuation and then the price might head towards the major resistance at 1.3968.
This level should be also an ultimate target for this long setup.
SCENARIO #2:
Based on the assumption that Euro is strong, a nice opportunity to go long is also at 1.3750, which is also a 61.8 Fibonacci level of the upswing.
Then, I would definitely define the target at 1.3868 – High of the swing.
SCENARIO #3:
Even if Euro retraces to 1.3666, which is the LOW of the swing, still it might be an opportunity to go long off that level.
In this case the target might be 1.3822. But be catious. If the price closes strongly below 1.3666, it might be a time for the bears then.
Petr
YouTube Channel: bit.ly/17jWiog
TWITTER: @FlexibleTrader
E-MAIL: psuchanek@smbcap.com
Blog: bit.ly/1qaZNHk