EUR/USD Technical Analysis October 7, 2011

EUR/USD rose on Thursday, showing a continued “risk on” attitude over the last few days. The ECB didn’t do much for the session, even though there was the much anticipated last meeting of Jean-Claude Trichet. The market continues to react to possible coordinated recapitalization efforts by the various EU countries, but in reality the market is still in a bearish mode overall. It will only take a bit of bad news to send this pair back down. With Non-Farm Payroll coming out later today, it very well could. We still favor selling rallies at this point, but any new positions will have to wait until we see the reaction to the NFP numbers out of America.

Written by FX Empire