Nice analysis... But still more down toward 1.28 and maybe lower.
EUR/USD Supported; Inverted Head and Shoulders Forming
Consolidation: The EUR/USD has been consolidating all week after the initial dip in the opening hours caused by the Cyprus bailout news. Though the drama continued, the EUR/USD found support around 1.29 during the 3/21 session, and is pushing up as we get into the 3/22 Friday US session. At the time of this report, price is testing the 200-hour SMA, as the 1H RSI is also about to tag 70, some early signs for a near-term bullish outlook. Head and shoulders: As you can see in the 1H chart, the consolidation is taking shape of an inverted head and shoulders, with the neck line just below 1.30. A break above 1.30 ... (full story)