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Pullback Considered Corrective

EURO-DOLLAR TECHS
  • RES 4: 1.2011 High Sep and key resistance
  • RES 3: 1.1917 76.4% retracement of the Sep 1 - 25 sell-off
  • RES 2: 1.1901 1.0% 10-dma envelope
  • RES 1: 1.1881 High Oct 21
  • PRICE: 1.1799 @ 05:47 BST Oct 23
  • SUP 1: 1.1760 Low Oct 20
  • SUP 2: 1.1739 50-day EMA
  • SUP 3: 1.1723 Trendline support drawn off the Sep 28 low
  • SUP 4: 1.1689 Low Oct 15 and a key support

EURUSD is off recent highs however despite the pullback, maintains a positive tone. This week's bullish theme has been reinforced by the break of the former bull trigger at 1.1831, Oct 9 high. The breach signals scope for an extension towards 1.1917 next, a Fibonacci retracement level with the major resistance and hurdle for bulls at 1.2011, Sep 1 high. On the downside, initial firm support lies at 1.1760, Tuesday's low.

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