FXstreet.com (San Francisco) - EUR/USD traded another broad range between 1.2194 and 1.2315 Tuesday, having fallen to the session low after Fed Chairman Bernanke gave no indication that the U.S. central bank is on the verge of providing more stimulus. EUR/USD ended with a slight gain on the day to 1.2294 from 1.2263.
From a technical standpoint, EUR/USD “may continue advancing over the upcoming sessions” as price now trades above the 23.6% retracement of the latest daily fall, while the hourly and 4-hour timeframe charts both hold a bullish tone with studies heading north above their midlines, explains Valeria Bednarik, Chief Analyst at FXstreet.com.
“Still limited on self weakness, the euro gains will be likely due to short covering rather than strength, with 1.2400 now possible as long as above 1.2250 support,” comments Ms. Bednarik. The analyst also identifies resistance levels at 1.2320, 1.2360 and 1.2400, while support levels lie at 1.2280, 1.2250 and 1.2210.
From a technical standpoint, EUR/USD “may continue advancing over the upcoming sessions” as price now trades above the 23.6% retracement of the latest daily fall, while the hourly and 4-hour timeframe charts both hold a bullish tone with studies heading north above their midlines, explains Valeria Bednarik, Chief Analyst at FXstreet.com.
“Still limited on self weakness, the euro gains will be likely due to short covering rather than strength, with 1.2400 now possible as long as above 1.2250 support,” comments Ms. Bednarik. The analyst also identifies resistance levels at 1.2320, 1.2360 and 1.2400, while support levels lie at 1.2280, 1.2250 and 1.2210.
