A risk of a profound rebound in EUR/USD could be looming and requires intensified alert management, warns JP Morgan. However, JPM argues that according to the axiom that the trend is your friend, they still nevertheless see good chances for EUR/USD to extend to 1.2220 and maybe even to 1.2042 (2012 low) as long as the market is not breaking above 1.2520 (minor 38.2 %), which would call for a broader recovery to 1.2875 (38.2 % on highescale). "Only a decisive hourly close above the latter (i.e. above 1.2995) would constitute a game change in favor of a much broader recovery to 1.3179 (50 % on big scale) and ... (full story)