EUR/USD 1.4100 – 21 January 2010

EUR/USD Open 1.4110 High 1.4304 Low 1.4074 Close 1.4104
Euro/Dollar declined below 1.4255, which led to further sharp decreasing down to 1.4084 on Wednesday, caused by increased concerns that the crisis in Greece will reflect the other members of the Euro-zone, closing the day at 1.4104. This morning the currency couple is trading quietly. Our expectations are for the bearish movement to continue. Break below this morning’s bottom and new support at 1.4074 may strengthen the bears further towards next target 1.3971. Immediate resistance is represented by the 1.4216 level. Going above it will signal for possible correction with targets towards 1.4304, followed by 1.4412. The European currency remains bellow the 20 and 50 EMA, which confirms the maintaining of the bearish trend in the short term. The RSI indicator increases, while the CCI and MACD are neutral, giving overall mixed signals.
Technical resistance levels: 1.4216 1.4304 1.4412
Technical support levels: 1.4074 1.3971 1.3880

Trading range: 1.4110 – 1.4050
Trend: Downward
Sell at 1.4100 SL 1.4130 TP 1.4060

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