The EUR/USD rally has cleared last month`s high at 1.1427 and this confirms 1.0760 as a significant low. Over the next several weeks we should see a retest of 1.1932 (June top) with 1.2225 as next reference. However, it is likely that a short-term top will be in place, probably 1.1610/25 (but could also be 1.1550) and this should lead to a small correction to 1.1190 (50%, if 1.1625 = top) or 1.1090 (61.8%, if 1.1625 = top), this correction should last around 1 week. 1.1090 should be the maximum downside before price goes higher again.

Short-term view
1.1496 ---> 1.1625 (end of September)
1.1625 ---> 1.1090 (max, first week of October)
1.1090 ---> 1.1932

Alipes Investment, Inc.
www.alipes-investment.com