We’ve had a really nice bear run in the EUR/USD and have seen a number of great opportunities to the short side in recent weeks. However yesterday the Euro really broke out to the upside, in what was a huge day for the shared currency.

As it stands we are now right back into the major trading range. As a result, we now have to reassess our bias and look for levels that might hold us down.

1.1800 is the level that has stopped us for the time being. However, there appears to be more downside left in the USD.

Above that, I see 1.1828 and 1.1850 as the next two levels that we might hit. 1.1850 being the top of the range and I can’t see us pushing much higher than that. So at this point, I will need to wait on the price action before we can take a position as I think we might jump further.

We also have US CPI due for release today which will dictate the day for the USD.

EUR/USD – 240 min Chart.