EUR/USD 1.4536 – 16 December 2009

EUR/USD Open 1.4539 High 1.4658 Low 1.4507 Close 1.4535
Euro/Dollar continued its downward movement on Tuesday, reaching a bottom at 1.4507, and closing the day at 1.4535. Our short positioning model is still preferable for the intraday trading, with expected targets for the currency couple toward 1.4448, followed by 1.4365. Short term signals, however, are neutral and any upward correction after the significant downward trend would not come unexpected. The CCI indicator is leaning upwards on the 1 hour chart, suggesting potential upward adjustment with possible test of the 1.4570 resistance. Break above this level may trigger further bullish pressure towards the upper limit of the downward channel and yesterday’s top at 1.4658. Break out of the channel may seriously threaten the bears’ domination and lead to further recovery of the European currency.
Technical resistance levels: 1.4570 1.4658 1.4757
Technical support levels: 1.4507 1.4448 1.4365

Trading range: 1.4550 – 1.4485
Trend: Downward
Sell at 1.4536 SL 1.4566 TP 1.4496


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