• EUR/USD surge driven by trade war led to a severely overbought situation

• The 1.0733-1.1573 rise seen in April has undergone a sizeable correction

• At 1.1065 almost 61.8% of the rise was retraced ahead a rise to 1.1418

• Once again the rally to May's peak at 1.1418 became stretched

• Long positions and stretched rise suggest a bigger rise will unfold slowly

• Where oil closes this month could have significant influence

• New strategies may be required to navigate changing landscape

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EURUSD

(Jeremy Boulton is a Reuters market analyst. The views expressed are his own)