EUR/USD Technical Analysis August 22, 2011

The EUR/USD rose on Friday, but managed to find the top of the recent downtrend channel resistive. The pair looks like it is stuck between two levels at the moment, the 1.4250 and 1.45 levels. The market is confused, as the two currencies involved belong to two economies that are both suffering. This will continue to make this a scalper’s pair, and not a long-term trading environment. The closer we get to 1.45, the more likely we are to try a short position. The closer to 1.41, the more likely we are to try a long position. Either way, those are going to be small positions that we will be taking profit quickly from.

Written by FX Empire