EURUSD - Rejects 161.8%; Bullish

EURUSD traded marginally through 1.2700 (161.8% extension) but buyers emerged under this level resulting in little net change for the day. Although mild bullish pressure has been posted in Asia and intraday momentum has turned to the upside, we have yet to post a higher intraday high. Our bias is for further gains from this low (1.2681) but we need a break of yesterday’s peak to confirm the positive sentiment. In view of these facts our call is a Bullish Bias – look for a  break of 1.2760

The profit targets will be 1.2823, Tuesday’s open, then towards 1.2871, Tuesday’s high trade. A stop of 40 pips can be placed on the break.

Support levels are: 1.2717, today’s Asian open, then 1.2700, 161.8% extension level, then 1.2681