The EUR/USD fell dramatically last week but has consolidated at an important support and resistance line at 1.4332, which also happens to be the base of the Ichimoku cloud. The correction, which could be an Elliot wave 4 will probably go higher, reaching resistance at the 50-day MA at 1.4420, although thereafter the outlook remains bearish and it will probably resume its descent, targeting support and resistance at 1.4250 initially, and then possibly 1.4140, which is the target on the 0.001x3 point and figure chart.
Analysis by: Joaquin Monfort
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