The Euro dropped for a fifth consecutive day against the US Dollar, setting a new 28-month low against the US Dollar. A daily close below the 61.8% Fibonacci expansion at 1.2173 exposes the 76.4% level at 1.2080. Alternatively, a reversal above the 50% Fib at 1.2249 opens the door for a test of the 38.2% expansion at 1.2324.
Risk/reward considerations argue against entering short with prices in close proximity to support. We will remain flat for now, waiting until an attractive selling opportunity in line with our long-term outlook presents itself.