Now it really depends on how Euro reacts to this important pivot. Today I offer two scenarios, one for long, one for short.
LONG SCENARIO:
The price is now re-testing 1.3878 and provided that Eur remains strong, it will reverse up and head for another pivot at 1.3900. Traders should look for any sign of strength in the current pullback to join the pair in the upmove.
SHORT SCENARIO:
The price might also fall down significantly below 1.3878, I assume that a retracement to 1.3850-1.3860 might be that sign of weakness needed for this scenario. Then I would wait for a re-test of 1.3878, which is a high potential entry level for a short trade. In this case Eur might fall to 1.3800.
LONG SCENARIO:
The price is now re-testing 1.3878 and provided that Eur remains strong, it will reverse up and head for another pivot at 1.3900. Traders should look for any sign of strength in the current pullback to join the pair in the upmove.
SHORT SCENARIO:
The price might also fall down significantly below 1.3878, I assume that a retracement to 1.3850-1.3860 might be that sign of weakness needed for this scenario. Then I would wait for a re-test of 1.3878, which is a high potential entry level for a short trade. In this case Eur might fall to 1.3800.