EUR/USD Fibonacci long-term view: going towards 1.2160?
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The rally in the EUR/USD could be unstoppable in a mid-term view, as the pair needs to do another leg higher before to being offered by the sellers. The weekly chart is showing that the common pair is near to reach the 200 SMA, but that coincides with the 38.2% Fibonacci retracement level. If that zone gives up, the pair could rally towards 1.2161 (50%) and there it could resume the bearish bias.
Our long-term outlook is calling for a decline that could go towards the -23.6% Fibonacci retracement area of 0.9468 level. However, such idea could get invalidated if the EUR/USD pair breaks above the 1.2592 zone (61.8% Fibonacci level). For the short-term, the pair could enter in a consolidation phase between the 1.1800 and 1.1500 levels.
