Euro's rebound after intra-day initial brief fall to 1.3571 suggests consolidation above this level would be seen and corrective rebound to the lower Kumo (now at 1.3650) and possibly resistance at 1.3677 would be seen, however, reckon 1.3695-00 (50% Fibonacci retracement of 1.3819-1.3571) would limit upside and bring another decline later. A break of said support at 1.3571 would extend the decline from 1.3894 top for weakness to 1.3550-60 (1.618 times projection of 1.3894-1.3728 measuring from 1.3819 and 61.8% projection of 1.3819-1.3630 measuring from 1.3677) but reckon previous chart support at 1.3524 would limit downside and price should stay well above 1.3490-00, bring rebound later.
In view of this, we are looking to reinstate short on subsequent recovery. Only a break above previous support at 1.3728 (now turned resistance) would signal decline from 1.3894 has ended and risk a stronger rebound to 1.3750 but resistance at 1.3775 should remain intact.
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