EUR/USD 4H chart 9:35AM EST 1/11/2013

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Bullish Break: The EUR/USD has been on a tear since finding support from a rising trendline that went back to the 1.2640 July-low, and staying above 1.30. In 24 hours, the pair is trading around 1.3350, during the 1/11 session. This breaks above a previous consolidation resistance at 1.3306. The break is a sign of bullish continuation. If the market can hold above 1.30, it would be a very strong sign that bulls are in charge of this market.

Target:
The bullish break continues a bullish outlook that has had the 2012-high at 1.3485 in sight as seen in the weekly chart. The weekly chart also still has some bearish bias holding, as price remains under the 200-week SMA, and the RSI holds under 60. With a break above 1.35 along with RSI pushing above 60, the EUR/USD market will be closer to clearing another step toward further bullish outlook.

The Euro is surging across the board since the ECB policy meeting. The Japanese yen has been on the other side of the spectrum losing across the board, making EUR/JPY’s rally a 400+pip monster in the last 24 hours.

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