EUR/USD 1.2919 – 19 July 2010

EUR/USD Open 1.2902 High 1.3004 Low 1.2891 Close 1.2924

On Friday Euro/Dollar the rising momentum extended further during the European session, than consolidated. The European currency appreciated from 1.2891 to 1.3004 on Friday, matching the positive Interbank sentiment projection, at around +2%, closing the week at 1.2924. This morning the pair is trading neutrally for now. On the 1 and 3 hour charts the upward channel is still intact. Break above the nearest resistance and Friday’s top at 1.3004 may trigger further recovery of the Euro. Going bellow Friday’s bottom and first support at 1.2891, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2800. Today’s focus is on EU 16 Current account at 8 GMT. Quotes are moving bellow the 20 and above the 50 EMA on the 1 hour chart, indicating short term bearish and medium term bullish pressure. The value of the RSI indicator is negative and calm, MACD is neutral and slightly declining, while CCI is about to cross down the 100 line on the 1 hour chart, giving overall light short signals.

Technical resistance levels: 1.3004 1.3151 1.3240
Technical support levels: 1.2891 1.2800 1.2707

Trading range: 1.2930 – 1.2865
Trend: Downward
Sell at 1.2919 SL 1.2949 TP 1.2879

Written by