EUR/USD: Overextended and Testing Resistance Area
EUR/USD continues to push higher. Still, it is now deeply overextended and testing the resistances area defined by the high of the rising wedge, the down trendline and 1.2748.
Given the lack of base formation, the current strength in EUR is seen as a rebound within an underlying downtrend. We would therefore look at signs of weakness close to the resistance at 1.2748 to initiate a new short EUR position.