EUR/USD’s London pullback has helped balance the scales a bit as entrenched longs trimmed positions ahead of the weekend, after a very profitable week. The dip was met with fresh buyers, showing the trend remains up, but to my mind, the “easy” money has been made. Now we are in the indeterminate zone where part of the market will be looking for a top and another sizable chunk looking at the stall as merely a consolidation within a strong trend. Both have valid arguments, and we will likely spend a few days determining who is right.
Offers remain on rebounds to the 1.4750/70 area while buyers are seen on dips to 1.4645/50, an increasingly strong support level, having been tested Wednesday and again today. EUR/USD trades mid-range, at 1.4705.
