Quote of the day: Economists are pessimists: they’ve predicted 8 of the last 3 depressions. – Barry Asmus
EURUSD
Trading strategy: standing aside
Although it opened higher yesterday, the euro failed to hold gains and pulled back once again from $1.400 – testing support around 1.3850 while writing this. Short-term sentiment is not affected and remains bullish but signs of weakness are obvious and it appears that current retracement may continue – next downside barriers standing at 1.3800, 1.3700 and 1.3650 – but 1.3800 has to be breached first, to confirm further weakness – so keep an eye on it as it may as well provide a buying opportunity if it holds. Trichet’s speech and FOMC Meeting Minutes are today’s notable events in the economic calendar. I remain bullish on EURUSD and believe it is only a matter of time (days?) before we see it into the 1.4 territory. Current exchange rate is 1.3864 @05:42 GMT
Support: 1.3850/60, 1.3800 and 1.3680/00
Resistance: 1.3900, 1.3950, 1.4000/25 and 1.4100
Market sentiment: long term – bearish, medium term – bullish, short term – bullish, intra-day – bearish
- EURUSD 4hrs chart 10-12-2010
What are your expectations?
More trading setups
GBPUSD
- GBPUSD 4hrs chart 10-12-2010
AUDUSD
- AUDUSD 4hrs chart 10-12-2010
Gold
- XAUUSD 4hrs chart 10-12-2010
Have a great day!
