EUR/USD holds above 1.3600 (canceled)
February 8, 2010 - 6:21 am by Juan P. Bejarano · Leave a Comment
**Order is now canceled. Growing speculation of some type of Greece rescue is giving some support to EUR/USD above 1.3700. A break above 1.3850 could potentially take the pair towards 1.4000 on sharp short covering.
Daily Fundamentals:
The Euro is steady at the start of the week, regaining some ground against the U.S. dollar.
Markets look to consolidate ahead of Wall Street’s open as they await queue from stock market players.
Currency traders are looking if Friday’s last hour reversal has legs for further gains or if the move should be faded.
Earlier, the Sentix investor confidence in the EuroZone weakened more than expected to -8.2 from -3.7 prior. Market consensus saw the figure at -2.4.
No major data is expected Monday — which could lead to further eur/usd recovery gains if stocks trade higher.
Trend:
Weekly : Bearish
Daily: Bearish
Hourly: Bearish
Support & Resistance:
From current levels, 1.3683, the pair finds initial resistance at 1.3711, followed by 1.3746, and 1.3805.
Key support to watch is the 1.3621 where a break of such would open targets to the 1.3585 level, followed by 1.3488 and 1.3420.
Strategy:
Preferred strategy looks to sell on rallies. The 1.3800 area looks to have strong resistance.
(canceled) Limit Sell @ 1.3799 Targets: T1 1.3779 – T2 1.3488 Risk: 1.3860
* After 15 pips profit move stop to entry, take profit at will. Trade is canceled if it rebounds near entry and moves higher by 20 pips. Comments will follow if outlook changes.
DISCLAMER: The above post is for information only. Before making your investment decisions please acknowledge that the information provided herein should not be taken without your own individual assessment and extensive investigation, it should not be preempted as your own trading strategies, investment advice and/or trading portfolio.
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