EUR/USD – The strong advance in the EUR this week puts the market well on the way to meeting the 1.4588 measured move target that some have maintained since the bullish break out from March/May consolidation (bull flag). While the rapid move up in spot leaves the EUR looking somewhat overbought, we continue to think that the deeply entrenched bull trend that the short, medium and long term DMI studies (on the 6-hour through weekly charts) are reflecting suggest limited – vey shallow and short in duration – counter trend corrections at the moment. While the top of the current bull channel in the low 1.42 area may prompt some consolidation in the very short term, we look for good support on modest dips to the 1.3950/1.4050 zone early next week. Key support is fairly distant at 1.3715/25. Buy dips.
EUR - buy dips
Linear Mode
