EUR/USD 1.2308 – 22 June 2010

EUR/USD Open 1.2315 High 1.2485 Low 1.2285 Close 1.2312
After partial continuation of the upward recovery, on Monday Euro/Dollar started correcting downwards. The European currency depreciated from 1.2485 to 1.2305 yesterday, in line with the Interbank sentiment projection, at around -0.2%, closing the day at 1.2312. On the 3 hour chart the downward channel was broken upwards, but could be renewed again, and on the 1 hour chart the new upward channel is adjusting. Break above the nearest resistance and yesterday’s top at 1.2485 may trigger further recovery of the Euro. Going bellow today’s bottom and first support at 1.2285, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2200. Today’s focus is on EU 16 Current account adjusted and unadjusted, and Germany IFO business climate, at 8 GMT. Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is negative and calm, MACD is negative and tranquil, while CCI has crossed down the 100 line on the 1 hour chart, giving overall short signals.

Technical resistance levels: 1.2485 1.2550 1.2611
Technical support levels: 1.2285 1.2200 1.2107

Trading range: 1.2320 – 1.2255
Trend: Downward
Sell at 1.2308 SL 1.2338 TP 1.2268

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