EURUSD Analysis – January 30, 2010

EURUSD’s downtrend form 1.5144 extended further to as low as 1.3861 level. Deeper decline is still possible next week and next target would be at 1.3500-1.3600 area. Resistance is at the falling trend line on daily chart. As long as the trend line resistance holds, downtrend could be expected to continue.

For long term analysis, EURUSD has formed a cycle top at 1.5144 level on weekly chart. Fall towards 1.3000 area to reach next cycle bottom is expected in next several weeks.

eurusd daily chart