EUR/USD 1.2625 – 12 May 2010

EUR/USD Open 1.2633 High 1.2796 Low 1.2606 Close 1.2660
The Euro continued sliding insignificantly downwards on Tuesday. Euro/Dollar decreased from 1.2796 to 1.2615 yesterday, in converse with the Interbank sentiment projection, at nearly +13%, closing the day at 1.2660. On the 1 hour chart the downward channel is trying to regain shape. Break above the nearest resistance and yesterday’s top at 1.2796 may trigger further recovery of the Euro. Going bellow today’s bottom and first support at 1.2606, however, should confirm continuation of the bearish trend, towards next target 1.2517. Today’s focus is on Germany GDP Q1, France GDP, CPI and HICP, Italy GDP, EU 16 GDP and Industrial production at 6, 6:45, 8, and 9 GMT respectively. Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The values of RSI, MACD and CCI indicators are all negative and quiet on the 1 hour chart, giving overall light short signals.

Technical resistance levels: 1.2796 1.2900 1.2985
Technical support levels: 1.2606 1.2517 1.2525

Trading range: 1.2635 – 1.2575
Trend: Downward
Sell at 1.2625 SL 1.2655 TP 1.2585

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