EURUSD’s downward movement from 1.3171 extends to as low as 1.2661. Deeper decline is still possible, and next target would be at 1.2500 area. However the fall is likely correction of the uptrend from 1.2042, another rise could be expected after correction. Resistance is at 1.2850, a break above this level will indicate that a cycle bottom is being formed at 1.2661 on daily chart, then further rise towards 1.3171 previous high could be seen.
For long term analysis, EURUSD had formed a cycle bottom at 1.2042 on weekly chart. Further rise towards 1.4000 could be expected over the next several weeks.
