Major reversal for EURUSD

EURUSD may have halted its long-term decline and be on the brink of a significant bullish reversal, according to Peter Lee, Chief Technical Strategist at UBS in New York.

Lee points out that the nine-year decline in EURUSD (to 1.0339 in January 2017) may have found major support from the 1985 uptrend (see Chart). He thinks this will allow EURUSD to undergo a structural reversal in trend and rally to 1.25-1.26 (the 38.2% retracement of its 2008-2017 decline) and possibly above to 1.29-1.32 (the 50% retracement).

See Chart.