EUR/USD 1.3675 – 12 February 2010

EUR/USD Open 1.3687 High 1.3800 Low 1.3600 Close 1.3691
Euro/Dollar rose on Thursday to 1.3800, recovering the losses from the previous day, influenced from the increasing optimism on the market. From that point the currency couple started a strong descend with 200 pips, closing the day at 1.3691. The main trend on the 3 hour chart remains in favour of the bears. If the important 1.3800 resistance is convincingly broken up, we may see stronger bullish impulse towards next target 1.3889. Immediate support for the currency couple is yesterday’s bottom at 1.3600. Downward penetration of it should confirm the the continuation of the main bearish trend within the descending channel, as seen on the 3 hour chart, towards next objective 1.3509. Quotes are moving bellow the 50 and 20 EMA on the 1 hour chart, indicating decreasing perspective. The values of RSI is entering the overbought zone, while MACD and CCI are negative and calm on the 1 hour chart, giving overall mixed signals.
Technical resistance levels: 1.3800 1.3889 1.3986
Technical support levels: 1.3600 1.3509 1.3422

Trading range: 1.3685 – 1.3625
Trend: Downward
Sell at 1.3675 SL 1.3705 TP 1.3635

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