Outlook in EURUSD has turned neutral with risk to the downside , resistance comes at the 1.2343 levels, a failure to hold above the 1.2343 levels on a daily closing basis could mean a return to the 1.2246 levels where a cut will call for a fall towards the 1.2180 levels , further losses will aim the 1.2150/1.2100 levels .
On the upside , resistance comes at the 1.2343 levels , break of the 1.2343 levels on a daily closing basis , will put the pair in recovery mode , but recovery above the 1.2343 levels should be limited by the 1.2376 levels where fall resumption is likely ,as a result ; the pair needs to take out 1.2376 levels to resume rise from 1.2246 levels , otherwise risk remains on the downside , however ; sustained trading – daily closing – above the 1.2376 levels will bring strong recovery towards the 1.2530/1.2600 levels before the next move !!!
In all , as long as resistance 1.2343/1.2376 holds on a daily closing basis , outlook in EURUSD remains on the downside towards the 1.2246/1.2180 levels ahead of the 1.2100/1.2040 levels , above 1.2343/1.2376 levels faces a recovery risk towards the 1.2530/1.2600 levels before the next fall.
In the medium term forecast , as long as resistance 1.2375 holds on a weekly closing basis the pair is very bearish and a lower leg below 1.2042 towards 1.1875 is strongly suggested , a weekly closing above the 1.2375 levels will turn outlook neutral for retesting main resistance at the 1.2613 levels , but overall outlook will remain to the downside as long as 1.2613 holds on a weekly closing basis .