EUR/USD 1.4331 – 30 December 2009

EUR/USD Open 1.4341 High 1.4457 Low 1.4306 Close 1.4352
On Tuesday Euro/Dollar continued its upward movement. The currency couple made a top at 1.4457, where the bullish pressure was limited, and started dropping down to 1.4339, closing the day at 1.4352. On the 3 hour chart the quotes are testing the upper line of the triangle. Dent out of the triangle may give potential signal for further increasing scenario in the medium term. However, the longer the Euro is traded within the triangle against the Dollar, the longer the signals will remain neutral. The CCI indicator is in the overbought zone and has crossed down the 100 line on the 1 hour chart, assuming potential exhaustion of the bulls and giving downward pressure with possible test of the short term support level and this morning’s bottom 1.4306. Break below this level may lead to decreasing momentum back towards 1.4215. Immediate resistance is yesterday’s top 1.4457.
Technical resistance levels: 1.4457 1.4582 1.4667
Technical support levels: 1.4306 1.4215 1.4119

Trading range: 1.4345 – 1.4280
Trend: Downward
Sell at 1.4331 SL 1.4361 TP 1.4291


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