Suggestions: While there remains downside risk in this market considering the strength of the bears since topping at 0.8125, the 0.76 hurdle looks appealing for a long. This is largely due to having the option of placing stops BELOW weekly demand mentioned above at 0.7571-0.7680.
As our current euro trade is in good profits and well protected, we would consider buying from here today should 0.76 come into the fray. The first take-profit line, at least for us, would be the nearby the H4 resistance at 0.7632.
Data points to consider: Chinese industrial production y/y at 2am; FOMC member Evans speaks at 8.05am; Fed Chair Yellen speaks at 10am; US PPI m/m at 1.30pm GMT .
Levels to watch/live orders:
• Buys: 0.76 region (stop loss: 0.7569).
• Sells: Flat (stop loss: N/A).