EUR/USD 1.2530 – 6 July 2010

EUR/USD Open 1.2537 High 1.2562 Low 1.2480 Close 1.2536

On Monday Euro/Dollar decreased insignificantly. The European currency depreciated from 1.2562 to 1.2510 yesterday, in converse the Interbank sentiment projection, at nearly +4%, closing the day at 1.2536. This morning the pair is trying to resume recovery. On the 1 hour chart the upwards channel is on hold, and on the 3 hour chart the downward channel was broken upwards. Break above the nearest resistance and yesterday’s top at 1.2562 may trigger further recovery of the Euro. Going bellow this morning’s bottom and first support at 1.2480, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2400. Today’s focus is on USA ISM Non-mfg composite index and USA ISM Non-mfg business index at 14 GMT. Quotes are moving just above the 20 and 50 EMA on the 1 hour chart, indicating slim bullish pressure. The value of the RSI indicator is positive and rising, MACD is neutral and quiet, while CCI has crossed up the 100 line on the 1 hour chart, giving overall long signals.

Technical resistance levels: 1.2562 1.2691 1.2800
Technical support levels: 1.2480 1.2400 1.2286

Trading range: 1.2520 – 1.2580
Trend: Upward
Buy at 1.2530 SL 1.2500 TP 1.2570

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