EUR/USD has broken above its sharp hourly downtrend in recent hours and is now in the midst of a retracement. 1.3741 is the 23.6% retracement of the 1.4283/1.3573 decline and has slowed the rally so far.
To my mind, the 1.3765 area is now a key spot. The market was heavily offered at that level yesterday afternoon and stop-loss buy orders will likely be be placed above that level. A break of 1.3765 would turn the focus on the 1.3825, a major stall point on rallies earlier in the week. Just above that level is the 38.2% retracement of the recent decline.
