EURUSD’s close above 1.2150 opens the way for a move towards 1.4000/1.5000 in the medium-term, says Tony Sycamore, Director of Australia-based TECHFX TRADERS (see Monthly Chart).
In the shorter-term, Sycamore says that resistance at the 1.2330 level, which comes from the 2008 low, has temporarily stalled the rally. He thinks, however, that the uptrend remains strong and an eventual break above 1.2330 will open up a move towards 1.2500 (see Daily Chart).
To the downside, Sycamore sees support at 1.2120/90 and at 1.1950. If EURUSD were to fall below 1.1950 he says this would suggest the uptrend has stalled and that a correction towards 1.1650/00 is underway.