Forex Investment and Currency Trading

EUR/USD - Having already been close to the 50% Fibonacci retracement at 1.2135 two weeks ago the market finally found a bid and stabilised. This raises the general question whether the so called
accumulation phase from 1.6039 down has been completed or whether we are still missing a test of
1.2135 to do so. The key T-junction to answer this question lies at 1.3297 (int. 38.2 %). As long as the market trades below the latter the USD bulls remain in charge and 1.2135 stays in focus. A decisive break above 1.3297 (higher than 1.3350) would on the other hand call for a bigger 3-step up-consolidation to 1.3991/1.4184 (trend line/50 %) and later to 1.4622 or 1.5163 (61.8/76.4%).

Preferred play:

Long EUR – target 1.3950 – rev.-stop at 1.2450 – new target 1.2150