As EUR/USD continues to rebound on resumed risk assumption we are reaching some interest retracement levels within the extraordinarily wide and volatile ranges we’ve seen since the middle of 2008. From the all-time EUR/USD high in the middle of last July above 1.60, the bounce so far has retraced less than 38.2%. From the post-Lehman/AIG high in September, we’re approaching a 50% retracement.
50% of 1.4871/1.2328 comes in at 1.3600
38.2% of 1.6038/1.2328 comes in at 1.3750.
Those are some levels to keep in mind if you are lucky enough to be long. If not, they may be logical levels to place stop-loss orders above…
1.3580/90, is the next area of chart resistance for the market; more lies at 1.3735.
