EUR/USD 1.2988 – 28 July 2010

EUR/USD Open 1.2988 High 1.3043 Low 1.2954 Close 1.2992

On Tuesday the Euro/Dollar traded hesitantly and within a range. The European currency depreciated from 1.3043 to 1.2954 yesterday, almost matching the neutral Interbank sentiment projection, at around +5%, closing the day at 1.2992. This morning the pair is still moving without clear direction. On the 1 hour chart the upwards channel is still trying to resume, while on the 3 hour the upward channel looks good for now. Break above the nearest resistance and yesterday’s top at 1.3043 may trigger further recovery of the Euro. Going bellow yesterday’s bottom and first support at 1.2954, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2874. Today’s focus is on Germany CPI and HICP at 12:15 GMT. Quotes are moving in line with the 20 and above the 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 light long signals.

Technical resistance levels: 1.3043 1.3144 1.3250
Technical support levels: 1.2954 1.2874 1.2755

Trading range: 1.2975 – 1.3040
Trend: Upward
Buy at 1.2988 SL 1.2958 TP 1.3028

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