EUR/USD | Technical Analysis | 28 January 2011

EUR/USD | Technical Analysis | 28 January 2011

The forecast is much like yesterday’s in that the exchange rate is still pushing up against resistance from the underside of the long term trend-line from the June ’10 lows. It fell back this morning and found support at the redrawn trend-line from the 10th of January lows at 1.3680, where it is now.

If it breaks lower it would be expected to reach support and resistance at the 1.3630-40 level initially whilst a rally back up to the 1.3725 highs is also quite possible.

by Joaquin Monfort, Analytical expert , Forex4You © 2011

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EUR/USD | Technical Analysis | 26 January 2011

EUR/USD | Technical Analysis | 26 January 2011

After yesterday’s shallow pullback EUR/USD has made a recovery rally to new highs. It is possible that from here there may be a more significant correction. The rate air-kissed the underside of a major trend-line from the June lows at 1.3720 today and it could reverse direction from here and fall, perhaps to support at 1.3640 initially and then maybe lower to 1.3590.

The whole move up from the 18th Jan also looks like an ending diagonal which also adds bearish overtones. Ultimately, however, price is not falling yet and momentum is stuck in overbought territory, and so without a confirmation it is too early to go short and still quite possible the rate might pop up and touch the monthly pivot at 1.3800.

by Joaquin Monfort, Analytical expert , Forex4You © 2011

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EUR/USD Technical Analysis | 20 January 2011

EUR/USD Technical Analysis | 20 January 2011

The rally in the euro stalled yesterday and we have had a correction since which has brought the exchange rate back down to the low 1.34s. It could fall lower or rally back up to the highs, perhaps even to 1.3550. If it falls lower then my previous target of 1.3350 still stands. Read more