EURUSD extended the upswing from 1.0665 (April 23, 2015 low) to reach 1.1289 (May 1, 2015 high) before pulling back. The pair now enters the 1.1140/1.1049 Fibonacci support zone (as marked on the 60minute chart) which should hold the dip.
Back above the 1.1189 resistance (May 4, 2015 intraday high) would suggest basing and offer scope for further upside towards 1.1223 then possibly 1.1289. Clearance above the latter would accelerate the rally off the 1.0521 reaction low (April 13, 2015) towards the 1.1534 lower high (February 3, 2015). However, a break below the 1.1049 area would prolong the consolidation towards 1.0976/1.0958.
Outlook:
Short term: neutral
Long term: bullish
Back above the 1.1189 resistance (May 4, 2015 intraday high) would suggest basing and offer scope for further upside towards 1.1223 then possibly 1.1289. Clearance above the latter would accelerate the rally off the 1.0521 reaction low (April 13, 2015) towards the 1.1534 lower high (February 3, 2015). However, a break below the 1.1049 area would prolong the consolidation towards 1.0976/1.0958.
Outlook:
Short term: neutral
Long term: bullish
