EURUSD Analysis – May 21, 2011

EURUSD may be forming a cycle bottom at 1.4048 on daily chart. Range trading between 1.4048 and 1.4500 would likely be seen in a couple of weeks. Support is at 1.4048, only break below this level could indicate that the downtrend from 1.4939 has resumed, then another fall towards 1.3500 could be seen.

For long term analysis, EURUSD had formed a cycle top at 1.4939 on weekly chart. Further fall towards 1.1500 is possible in next several months.

eurusd daily chart