Potential for Euro rebound

The Euro is finding a base around 1.12 and could be about to rebound significantly, according to Chris Williams, Senior Broker at Newedge.

Williams notes that, despite the Greek election result, support for EUR/USD has held at the 61.8% retracement level and this coincides with oversold readings on the RSI. He thinks that if the Euro can close strongly this week then a rebound should be significant, with 1.2150 the initial target.

See chart.