EUR/USD | Technical Analysis | 9 February 2011

EUR/USD | Technical Analysis | 9 February 2011

The corrective rally which began on the 7th Feb is slowing down. After touching the 1.3680 highs and the 50% Fibonacci retracement of the preceding move the rate has fallen and is now going sideways. It will probably fall further and if it passes below the previous trough low at 1.3611 that will be a strong bearish signal as the rising sequence of peaks and troughs will have been broken and replaced by a falling sequence instead.

Alternatively, if the rate rallies above 1.3685, that could be a bullish sign and might open the way to retesting the 1.40 highs and the monthly pivot.

by Joaquin Monfort, Analytical expert , Forex4You © 2011

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EUR/USD | Technical Analysis | 7 February 2011

EUR/USD | Technical Analysis | 7 February 2011

The final wave of selling on Friday occurred after the release of the unspectacular Non-Farm Payrolls’ data, and after a brief rally there has been further selling since. A break below the 1.3543 lows would be a strong bearish signal.

Further moves down could be expected to reach the next band of support at 1.3480. If prices find support at the lows, however, and launch a recovery rally higher, then the may reach resistance highs at 1.3650.

by Joaquin Monfort, Analytical expert , Forex4You © 2011

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EUR/USD | Euro/Dollar | Technical Analysis | 3 february 2011

EUR/USD | Euro/Dollar | Technical Analysis | 3 february 2011

This pair has fallen back down to support from the major trendline from the June ‘10 lows, as anticipated. From here it could launch another rally with a target just short of the recent highs at 1.3850.

Alternatively there is a possibility of a break down – possibly even a collapse. If so then the next substantial support grouping at 1.3650 could be expected to at least stall any bear moves.

by Joaquin Monfort, Analytical expert , Forex4You © 2011

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EUR/USD | Euro/Dollar | Technical Analysis | 2 February 2011

EUR/USD | Euro/Dollar | Technical Analysis | 2 February 2011

Yesterday the exchange rate rallied and broke through the major trendline from the June ’10 lows. Since then it has fallen back to just above that same trendline and it could find support there at around 1.3780. The fall looks like a small Elliot wave 4 of the recent rise and once it has completed wave 5 may rise back up to possibly match the highs at 1.3850.

After that it is possible the exchange rate will fall again given the move from the 10th Jan looks complete. This may imply the trendline break yesterday was only temporary - a view supported by the muted activity today. A target for a fall could be the support clustered around 1.3650.

by Joaquin Monfort, Analytical expert , Forex4You © 2011

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EUR/USD | Euro/Dollar | Technical Analysis | 1 February 2011

EUR/USD | Euro/Dollar | Technical Analysis | 1 February 2011

This pair has risen since yesterday to match the highs posted on the 27th Jan. This is probably the 5th Elliot wave I predicted in yesterday’s analysis. It has now reached minimum requirements for completion and may begin falling. However, there is also every possibility it could still rally to retouch the major trendline from the June lows at 1.3775.

Then perhaps after that a drop to support from the trendline of the 10 Jan lows at 1.3655 is likely. A break of that trendline would constitute its 3rd break and indicate a more substantial bear move was afoot.

by Joaquin Monfort, Analytical expert , Forex4You © 2011

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