Technical Market Overview:

The bulls at the EUR/USD pair have broken above the technical resistance at the level of 1.1116 and made a new local high at the level of 1.1144. This is not the end of the up wave as the next target for bulls is seen at the level of 1.1175 (100$ of Fibonacci extension and technical resistance). The strong and positive momentum supports the move up. The larger timeframe trend remains bearish.

Weekly Pivot Points:

WR3 - 1.1223

WR2 - 1.1169

WR1 - 1.1113

Weekly Pivot - 1.1058

WS1 - 1.1004

WS2 - 1.0947

WS3 - 1.0888

Trading recommendations:

The best strategy for current market conditions is to trade with the larger timeframe trend, which is down. All upward moves will be treated as local corrections in the downtrend. The downtrend is valid as long as it is terminated or the level of 1.1445 clearly violated. There is an Ending Diagonal price pattern visible on the larget timeframes that indicate a possible downtrend termination soon. The key short-term levels are technical support at the level of 1.0999 and the technical resistance at the level of 1.1267.