[EURUSD] Let's try to reason (together)....

The euro rose to its strongest level in 6 months on the back of U.S. dollar weakness.  Although it pulled back slightly towards the end of the week, the breakout/uptrend remains intact as long as the currency pair holds above 1.10. It has been nearly 4 weeks since EUR/USD gapped up from 1.0730 to 1.0880 and the longer the pair holds above these levels, the more durable the gap.  Fundamentals are also on the euro's side as the political risk in France and Germany fade with the CDU party's victory in rival territory.  Data this past week has been good - German investor confidence rose strongly in the month of May, the Eurozone's trade surplus hit a 3 month high and there were no revisions to the Eurozone's Q1 GDP and French CPI reports.  Even ECB President Draghi had to acknowledge the euro-area recovery as resilient and increasingly broad based. The euro also received help from the German - U.S. yield spread, which moved sharply higher this week. In the week ahead, the euro will remain in focus with the German IFO report and May PMIs due for release. Of all the major economies, the Eurozone is one of 2 with big events on the calendar so expect EUR/USD to be on the move.

Weekly closing was very interesting, and this morning we published an interesting (short) setup for our Traders (in our Trading Room). In our opinion, we consider this swing as a technical bounce, and if you look at our old EW analysis (see below) on daily charts, eurusd is working on a corrective structure, and not impulsive!
What do we do now? In a few hours the market will open, and we will follow eurusd on low time frames (H1 and H4), and if you are interested in this, follow our analysis, and if you want to reward our work ... thank you for your " I LIKE "!

OUR OLD "EW ANALYSIS"


...thank you for your support and trade woth care!

...It remains our "benchmark candle"