As Valeria Bednarik, Chief Analyst at FXstreet.com notes, there were “no major changes in the news front,” as Bernanke’s second day of testimony to Congress again lacked any clue on QE.
Technically speaking, “the daily chart shows a probable bottom underway, with a rounded floor: advances above the 1.2340 may anticipate further gains for the euro, towards the 1.2500/20 price zone,” comments Ms. Bednarik.
EUR/USD last trades at 1.2275 in early Asia, with support levels noted at 1.2250, 1.2210 and 1.2161. Resistance levels lie at 1.2310, 1.2340 and 1.2380.
In the lower timeframes, the analyst notes that the hourly chart displays a “limited bullish tone,” while, in the 4-hour chart, the technical picture is similar “with no signs of strength at the timing being.”