forexws-today: eur/usd technical analysis january 2011

Showing posts with label eur/usd technical analysis january 2011. Show all posts

Friday, January 28, 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.

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Thursday, January 27, 2011

EUR/USD | Technical Analysis | 27 January 2011

This pair has risen to touch the underside of the old trend-line from the June lows. It has been unable to penetrate above however, and this morning a sharp sell-off brought prices down to 1.3637 breaking the trend-line of the move from Jan 10 lows in the process. A recovery rally has brought prices back into the range in the 1.3680s.

I think it is unlikely the move down is complete and a ‘C’ leg might unfold with a target of 1.3610 where the S2 daily pivot resides. Alternatively a continuation higher might reach the top of the range at 1.3725.

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Wednesday, January 26, 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.

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Friday, January 21, 2011

EUR/USD | Technical Analysis | 21 January 2011

EUR/USD | Technical Analysis | 21 January 2011

Today’s rally on low volume, however, is a sign of lack of conviction and could presage a decline. But the latest wave up from yesterday’s 1.3400 lows is too complex to indentify and gives us no clues as to future action. Read more