Technical summary:

A decline from 141.06 still looks more as a correction than top. So, we will stay bullish for more upside pressure once this correction is found. Ideally, we will see the bottom of red wave ii/ near 137.51 where red wave y is equal in length to red wave w. To indicate that the bottom in place, a break above minor resistance at 139.17 is needed. A break above resistance at 140.63 will be needed to confirm that the correction in red wave ii/ is over and acceleration higher in red wave iii/ is expected towards 144.03.

As long as minor resistance at 139.17 protects the upside, the decline towards 137.17 is getting deeper before the next move up.

Trading recommendation:

Our stop at 137.90 was hit for a small loss. We will only buy EUR upon a break above 139.17 and place our stop 10 pips below the most recent low.