EURUSD Analysis – August 7, 2010

EURUSD continues its upward movement and the rise from 1.1876 extended to as high as 1.3333 level. Support levels are at 1.3119 and 1.2900, as long as these levels hold, uptrend is expected to continue and further rise to 1.3500 is still possible next week. However, below 1.2900 support will suggest that a cycle top is being formed on daily chart, then consolidation of uptrend could be seen.

For long term analysis, EURUSD formed a cycle bottom at 1.1876 level on weekly chart. Bounce towards 1.4000 is expected in next several months.

eurusd daily chart