Despite the good US employment data, the pair managed to find some support well above the 1,40 key level. If we do see a clear break above 1,44 corresponding to the daily descending trendline, it would open the door for a continuation towards 1,47 (weekly bollinger band) with a possible test of May high at 1,4940.
Considering the crucial information that came out during the weekend with downgrade of the US credit rating, we will most likely see the EUR/USD pushing higher in the early stage of the week. A confirmation to the upside would signify the end of a 50% retracement of the 2011 uptrend.
Only a break below last week low (1,4050) would concern.
Provided by atf-forex-trading.com