Attached is the 1H chart for EURUSD. As pointed out in my article yesterday, i believe that a retracement is due for this pair. Not only due to the fact that it has risen up too much but also due to the fact that the last rise through resistance was on low volume and hence such moves would not be supported too much for too long.
If the retracement does happen, the on the downside, we should good support at 1.3977 and if this support is broken, then we should see support at 1.39 and then at 1.3850. I do not see 1.3850 to be broken (atleast not today). It would be interesting to see PA and volume at lower prices to see if still lower prices are possible or whether we are going to jump right back up.
On the upside, there should be good resistance at 1.4050 and then a big resistance at 1.4150 and i dont see the price going up beyond this (atleast not today).
So, for today, we should see a bit of ranging and this ranging should have bias towards the downside though the holiday and low volume could make it easy for manipulation. Lets see.
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