The EUR/USD continues to respect 1.4227, the 50% retracement level of the 2008 highs & 2009 lows. Two weeks ago, the pair retraced 50% below this level, then 50% above the following week. Wednesday's rebound coincided with a 23.6% retracement below the 1.4227 pivot and Thursday's high rejected near 1.4312, 23.6% retracement above 1.4227. The symmetry exhibited suggests that despite last week's brief breakout, the EUR/USD should retest the region below 1.4227 relatively soon. Meanwhile, the DXY is probing the June pivot low of 78.31 since putting in a 3-day double top. A higher base is sought to take out the resistant 35-day exponential moving average.
