Late last week, the EURUSD staged a sharp rally from the February 18th low just above 1.25. Prior to that rally, 1.27 had held as support. Each day this week, the EURUSD has slipped below 1.27 weakness has proved temporary. A range has developed between primarily 1.2690 and 1.29. A rally above 1.29 would inspire confidence in a larger recovery back to 1.33. There is risk of a drop below 1.2660 but 1.2510 (2/18 low) must hold in order for price action to remain constructive from a bullish perspective.
