Quote of the day: “If you cannot convince them, confuse them.” - Harry S Truman
EURUSD – 1.4088 @05:55 GMT
Good morning. The charts are quite confusing as rangebound trading continues, as seen on the hourly charts – while the daily charts are bullish and we have a key support into the 1.400-1.4030 region still valid. Downside is limited as the euro holds gains ahead of April’s ECB rate decision. As long as 1.400 holds, I prefer to look for buying opportunities but only in case of a convincing rally. Meanwhile, there are some other pairs to look for interesting trade setups
Trading strategy: looking to buy at 1.4160 on 4-hr bar close above 1.4150, stop at 1.4000 (0.5% risk), target open
Support: 1.4000/30, 1.3930/50 and 1.3870
Resistance: 1.4120, 1.4150, 1.4200/20 and 1.4260/80
Market sentiment: long term – mixed, medium term – bullish, short term – mixed, intraday – bearish
- EURUSD 4hrs chart 3-30-2011
- EURUSD daily chart 3-30-2011
Have a good day!
Hey Liviu :-)
Yeah, EURUSD pair has been pretty boring in the range trades, I was wondering if you could share your other trade setups as you mentioned were interesting…
Cheers!
hi Nik
frankly I wanted to post some interesting charts of other pairs in the morning but I was in a hurry getting somewhere. I'll do my best to share some charts & setups a bit later today (short term / medium term setups).
Before April 7's rate meeting decision, I also think EUR/USD will continue to be traded in range. But afterwards, it will break big either way.
Hi Kenwei
The priced-in rate hike keeps the EUR up and all the Euro-zone debt problems, rating cuts flooding the news is so old news nowadays, as EUR ignores it.
I think that all eyes will be on Fed in the near future… to see whether Mr. Ben will continue the QE.
What's your take on that? More QE or not?
I would bet on no more QE since inflation is a real threat now just looking at those high commodity prices…
Hey Liviu :-
As FED in yesterdays announcement, said that there will be no more QE likely and the existing QE will be exhausted soon; figuring that sends a bullish signal for USD .. is not?
well, Fed's Bullard said it is possible to end QE2 "If the economy is as strong" as he thinks it is and "hopes it will be in 2011".
Uhm, sorry… but what "strong economy" is he talking about?
Ending QE2 doesn't mean there will be no QE3. Maybe Mr. Ben will take a break after QE2 but as soon as stock market drops too much, there will be QE3.
In my opinion (but hey! I'm no economist or analyst) ending QE means disconnecting the economy's life-sustaining equipment… unless the economy is self-sustaining. So the question is: is it self-sustaining? I wouldn't bet on that. That's why I focus only on short-term trades, because longer term is way too unpredictable.
Pingback: Mid-Week EUR Thoughts, Charts and Setups | FX Trading Blog - innerfx.com
Pingback: EURUSD Pushing Towards 1.42 Resistance Zone | FX Trading Blog - innerfx.com