JP Morgan for EUR/USD: ranging within daily triangle s/r

JP Morgan estimated the false breakout by bouncing back starting to range between very strong support/resistance levels. Market refused to make necessary breaks to established good stable trend, says JP Morgan.

• "Market keeps on bouncing back and forth in a range between 1.1071 (daily triangle resistance) and 1.0772/44 (daily triangle support/int. 76.4 %), which needs to be broken to receive fresh directions."
• "A break above 1.071 would on the other hand be needed to open the door for a minimum recovery to 1.1288."
  
• "A break below the main T-zone at 1.0772/44 would re-open Pandora's Box in terms of resuming the long-term downtrend. In this case 1.0072 (76.4 % of the 2000-2008 rally) would only be a minimum target."

Thus, JP Morgan descovered 2 very strong s/r levels:

• daily ascending triangle with 1.1071 resistance;
• daily descending triangle with 1.0772/44 support.

It means that the market is on the border waiting for direction.