EUR/USD 1.3523 – 22 March 2010

EUR/USD Open 1.3512 High 1.3626 Low 1.3502 Close 1.3524
The swelling budget deficit in Europe and the lack of economic data on Friday pushed the Euro lower, in line with the the Interbank sentiment projection at nearly -17%. The currency couple depreciated on Friday from 1.3626 down to 1.3504, closing the week at 1.3524. The maintaining of the secondary bullish channel on the 3 hour chart was broken downwards last Thursday, seriously undermining Euro’s strength. Only convincing break above the nearest resistance and Friday’s peak at 1.3626 may lead the currency to partial recovery. Going bellow Friday’s bottom and nearest support at 1.3502, however, should confirm continuation of the bearish trend, towards next objective 1.3413. Today are the EU Flash consumer sentiment and ECB president Trichet’s speech at 15:00 and 16:30 GMT respectively. Quotes are moving bellow the 50 and 20 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is positive and quiet, while MACD and CCI are negative and calm on the 1 hour chart, giving overall short signals.
Technical resistance levels: 1.3626 1.3739 1.3810
Technical support levels: 1.3502 1.3413 1.3323

Trading range: 1.3535 – 1.3470
Trend: Downward
Sell at 1.3523 SL 1.3553 TP 1.3483

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