Today's Support and Resistance levels:

R3: 1.5860

R2: 1.5814

R1: 1.5767

Current spot: 1.5738

S1: 1.5736

S2: 1.5718

S3: 1.5704

Technical overview:

We keep making new highs, but we still lack the acceleration, that we would normally expect in wave three. We still think that once the real momentum in the ongoing wave iii is released, there should not be any problems with breaking above the base channel resistance line for a very powerful rally higher. Once we have cleared the strong resistance in the 1.5918 - 1.5938 area we should see the top at 1.6359 tested soon after. In the short term we are looking for minor support at 1.5736 to protect the downside for a break above minor resistance at 1.5767 and a break above here confirms the next rally higher. However, if support at 1.5736 is broken, it opens for a slightly deeper correction to 1.5718 before the next rally higher.

Trading recommendation:

We are long EUR from 1.5550 and we lift our stop higher to 1.5645. If you are not long EUR already, then buy here near 1.5736 or upon a break above 1.5767 with the same stop.