EURUSD Analysis – May 9, 2009

EURUSD broke above 1.3392 key resistance, suggesting that a cycle bottom had been formed at 1.2884 level on daily chart and the rise from 1.2884 is possibly be resumption of the uptrend from 1.2456. Further rise is expected to test 1.3738 previous high resistance next week, a break above this level will signal further rally to 1.4150-1.4200 area. Near term support is now at the rising trend line on daily chart, now at 1.3350, as long as the trend line support holds, the uptrend from 1.2884 will continue.

For long term analysis, EURUSD stays in a trading range between 1.2329 (Oct 28, 2008 low) and 1.4719 (Dec 18, 2008 high). Rebound towards 1.4400-1.4500 area is expected in next several weeks.

eurusd daily chart

eurusd weekly chart

eurusd monthly chart