As expected, euro/USD had a slight rise to 1.4290 but had tilted sideways last week.

There are chances to expect a consolidation while the initial bias will remain similar to that of the last week. Downside will be contained with the support of combined resumption at 1.4055.It can be assumed that consolidation up to 1.4337. In view of the current increment, it is presumed that medium term resumption may indicate up trend.

This is evident from the fact that there is progress in continuation of the rise of the medium term from 1.2456. But, it cannot be concluded that this medium term rise is the third leg of the consolidation which begun at 1.2329. Instead the five wave structure suggests that this is probably the last leg of the consolidation.

If there will be rise beyond 1.4337 then this will be fist high and may target the projection of 1.2884 to 1.4337 right from 1.3747 which is of 61.8 % and the next would be 1.4645. Looking at short term, if there will be below 1.4055 then focus will take a turn back to support of 1.3832. Below support1.3832 will indicate the completion of 1.2456 rise.

Upside will be restrained by the cluster resistance around at1.4622/45 to complete the entire consolidation. At the downside support below 1.3832 will signal the completion of rise from 1.2456. This will target the focus towards confirmation of the support of trend line.

In view of long term picture, the price initiates from 1.2329 is just the consolidation of down trend in longer run. And, the fall from 1.6039 is expected to resume once the consolidation gets completed. The long term strategic study indicates that such downtrend below 1.2329 will pose a test on the key 1.1639 ensuring long term support.

This is, for the time being a long time bearish view till the resistance stays held up to 1.4867.

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