EURUSD looks to be in correction move from 1.3363 8 Dec swing high. Support is down to 1.3052 weekly low, resistance is up to 1.3290 weekly high.
Below 1.3052, support is down to 1.3030 which marks the 38.2% fibonacci of 1.2482-1.3363 rally. An important level to watch if 1.3052 weekly low gives up.
SHORT
A violation of 1.3030 fibonacci support, followed by 1.3000 psychological and moreover 1.2980 will lead to more downside pressure towards 1.2920-30 area which contains 23 Nov low, and also marks the 50% fibonacci of recent rally. If that’s violated look to the 1.276 area weekly low.
LONG
However, a clearance of 1.3290 thereafter 1.3300 psychological will confirm a resumption of the uptrend and should target 1.3363, then 1.3481 and 1.3667
OVERALL
38.2 fib should remain intact, together with 1.2980-1.3000 to stop and reverse the bias to upside again. however a break thru 1.3244, then 1.3290 will signal that correction is over, and uptrend is resuming.
The inverted hammer of 27 Dec could just be the start?
I mean the start of fresh rounds of euro buying. I believe if we broke thru 1.3300 again, the level will be in history. and focus will be shifted to 1.3478/83
Technical note, a break below 1.3030 fib support is required to turn the bias down, towards 1.3000 psychological and 1.2979 break level. I would not recommend turning your medium term trade to short until we break 1.2979.
On other hand, a break above 1.3300 is now needed to confirm a resumption of the general uptrend.
There is no intraday idea, be careful with the news release.