EUR/USD: Topside test favoured
I still am sticking to my view that we are in a medium term sideways range trade between 1.2750/1.3400. We are nearing the upper end and there will be stops building above 1.3450, so the natural market reaction is to be attracted to these big levels. Short-term, buying dips favoured; medium-term, risk-reward favours selling rallies; long-term, I think it goes higher.