EUR/USD 1.2524 – 24 May 2010

EUR/USD Open 1.2533 High 1.2651 Low 1.2305 Close 1.2574
After partial recovery, the Euro dropped on Friday with a strong downward impulse. Euro/Dollar climbed from 1.2484 to 1.2651 on Friday, and than lost all gains, in line with the Interbank sentiment projection, at nearly -14%, closing the week at 1.2574. On the 1 hour chart the downward channel could be renewed if bears prevail. Break above the nearest resistance and Friday’s top at 1.2651 may trigger further rising of the Euro. Going bellow Friday’s bottom and first support at 1.2484, however, should confirm continuation of the bearish trend, towards next target 1.2305. There are no major economic events for EU today. Quotes are moving bellow the 20 and above the 50 EMA on the 1 hour chart, indicating short term bearish pressure. The value of the RSI indicator is negative and declining, MACD is about to turn negative, while CCI is negative and inclining upwards on the 1 hour chart, giving overall light short signals.

Technical resistance levels: 1.2651 1.2750 1.2883
Technical support levels: 1.2484 1.2305 1.2143

Trading range: 1.2535 – 1.2470
Trend: Downward
Sell at 1.2524 SL 1.2554 TP 1.2484

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