[B]MAIN ANALYSIS[/B]: The rally stalled 4 points short of the 1.6305-27 target area and corrected lower and we're getting to levels where the correction can stall. Indeed, the 1.6206-14 area is favored but at this point we should also be aware of a deep pullback in this leg that could even see 1.6175-85. Thus, a little care is required but overall this still has continued gains to be seen above 1.6255 and to yesterday's 1.6301 high initially. Beyond there will extend the rally to 1.6335-58 and 1.6380 to the next target at 1.6411...
[B]COUNTER ANALYSIS[/B]: Only an earlier dip below 1.6153 would confuse matters but even then I doubt we'd see much below 1.6100-05 and 1.6076-86 before higher again.
For more information regarding the support & resistance and medium term outlook please see the attached PDF file.
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