Can’t say Mr. Market isn’t giving you a chance today….
EUR/USD is extending it’s rebound from the 50% retracement of the 1.2640/1.2811 rally and has overcome resistance in the high 1.2770s to trade back above 1.2780.
As I noted first thing this morning, I think the easy money has been made in this pair and we have a choppy consolidation ahead of us.
I guess the market is pricing in the hope that the new French president will pry a commitment from Frau Merkel on euro bonds later this week. While I seriously doubt that will happen, no sense fighting the speculation at these levels.
Stops are seen above 1.2815 now while offers are eyed in the 1.2840/50 area near-term. Large trailing stops are above that level.