The Euro was bullish all last week. Price ran back up to the highs of nearly 1.2100 but wasn’t quite able to take them out. The run-up was in most part down to the steep decline in the USD.

As the US Dollar sold off, most of the majors benefited in some way. However, the Euro was one of the strongest.

Looking for New Highs

This week we have the ECB minutes, scheduled for release. We also have US CPI which will be sure to shape the direction of trade. In the medium term, I’m still bullish on the Euro and I think we can use this most recent sell-off to find a good entry point.

1.1950 was a support level that appears to have broken. Of course, if we get bullish price action in the next few hours then we might want to be buying.

The round numbers are always important in the Euro and 1,1900 does have some appeal, however, I feel 1.1850 is stronger. As a longer-term level, this is probably the next point that I’d be looking at. Just be careful with the two headline economic events that I mentioned as they could push us through any technical level relatively easily.