Support?
The 1.12 level has been “fair value”, and I think it should continue to be so. It looks as if the buyers are starting to take over, and if that’s the case I don’t see the reason we will reach towards the 1.13 level again. I think that the market will continue to offer plenty of buying opportunities on dips, but this is going to be short term in nature to say the least. The market is one that is going to be difficult to sell, least not until we break down below the 1.1170 level. Once we do that, the market should then go down to the 1.1125 handle.
If we could break above the 1.13 level, the market should then go to the 1.15 level above. That is a massive barrier on the longer-term charts, as we have been consolidating between the 1.05 level on the bottom and the 1.15 level on the top over the last 3 years.