EUR/USD 1.4407 – 17 December 2009

EUR/USD Open 1.4521 High 1.4586 Low 1.4373 Close 1.4533
Euro/Dollar corrected insignificantly upwards on Tuesday to the 1.4586 top, closing the day at 1.4533. Although the bullish adjustment did not come as a surprise for us after the big downward movement, the bearish scenario remains intact for now. On the 1 hour chart quotes formed a descending triangle, which is technically bearish figure and may stop any serious bullish threat, especially if the European currency breaks bellow the 1.4373 support, which may trigger further descending impulse with objectives towards 1.4282. However, if the bearish scenario fails and the quotes break above the nearest 1.4531 resistance, further bullish movement extension can be expected towards 1.4657, followed by 1.4757. The CCI indicator is negative on the 1 hour chart, suggesting accumulated downward pressure.
Technical resistance levels: 1.4531 1.4657 1.4757
Technical support levels: 1.4373 1.4282 1.4200

Trading range: 1.4420 – 1.4355
Trend: Downward
Sell at 1.4407 SL 1.4437 TP 1.4367


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