The Euro broke support specified in yesterday’s report 1.3028, and came close to hitting the suggested target of 1.2962, but it stopped a few steps before it, then it bounced clearly. It is clear that the Euro is facing some difficulties ahead of and around 1.31: there is the well known resistance 1.3092, Friday’s top 1.3105, and now we can also see that after the open, the price has bumped into 1.3086 a couple of times during the Asian session. If the price can go back to trade above 1.3086, reaching 1.32 (and above) will be only a matter of time! The targets in this case will be 1.3200 & the bottom we still remember 1.3266. On the other hand, short term 61.8% Fibonacci level has became the most important support for today, especially that it is just above the rising trend line from June 29th low on the hourly chart. In case we break this support which is at 1.3020, the price will drop & correct the whole move up from Tuesday’s low 1.2731 to yesterday’s top, which will ideally target the area between 1.2950 & 1.2874. It is worth mentioning that the latter is the most important support for the time being.

Support:

• 1.3020: Fibonacci 61.8% for the rise from Friday’s low.

• 1.2950: Jun 27th low.

• 1.2874: Fibonacci 38.2% for the whole rise from Jul 21st low to Friday’s high.

Resistance:

• 1.3086: Asian session high, tested twice.

• 1.3200: Apr 23rd low.

• 1.3266: Apr 25th important bottom.