Quote of the day: Constant repetition carries conviction. – Robert Collier
EURUSD
Trading strategy: short at 1.3900, stop at 1.3970(0.5% risk), 1st objective at 1.3850, 2nd objective at 1.3770
The dollar recovered to $1.3800 against the euro amid speculation increased debt purchases by the Fed will help revive economic growth, also following the AUD which sold off big time and is the main loser today. Although the euro is currently down 1% since Monday, it still trades into the 4-week range and bullish sentiment is intact on medium term. Intra-day studies are negative, suggesting either selling into rallies or break lower, below last weeks’ bottoms. Upside barriers are now starting around 1.3900, followed by 1.3970 and 1.400. A potential euro recovery to 1.400-1.4050 and especially a daily close above the said resistance region would reinvigorate bulls, providing a key confirmation, but frankly, I doubt we’ll see that in the coming days – until November. Today’s notable events in the economic calendar are the Durable Goods Orders and New Home Sales data releases, in the U.S. Current exchange rate is 1.3816 @05:56 GMT
Support: 1.3800, 1.3700, 1.3650 and 1.3600
Resistance: 1.3900, 1.3970, 1.400, 1.4050 and 1.4150/60
Market sentiment: long term – mixed, medium term – bullish, short term – bearish, intra-day – bearish
- EURUSD 4hrs chart 10-27-2010
More trading setups
GBPUSD
- GBPUSD 4hrs chart 10-27-2010
AUDUSD
- AUDUSD 4hrs chart 10-27-2010
USDJPY
- USDJPY 4hrs chart 10-27-2010
EURCHF
- EURCHF daily chart 10-27-2010
EURCAD
- EURCAD daily chart 10-27-2010
Gold
- Gold 4hrs chart 10-27-2010
Have a great day!
