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The best pair to trade now

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EUR/USD: Still the best chance

Wed, Oct 28 2009, 12:00 GMT
by Valeria Bednarik

FXstreet.com Independent Analyst Team


Euro remains clearly the best chance across the board. With stocks falling and gold at 1031/oz, the European currency likely to extend the downside rally, thus market will define the intraday trend after U.S. Durable Goods data. Expected to the upside around 1.2%, previous month reading has been already revised to the downside, -2.6%. A number above 1.2% could trigger some optimism across the board, sending stocks and Euro higher, as the pair has just reached the 200 EMA in the 4 hours charts, yesterday’s target zone. Above 1.4790, pair could retest the 1.4835 zone. Next resistances come at 1.4880 and 1.4925, not seen at this point.

Trend remains bearish in the pair, so an acceleration under 1.4740 will likely drive the pair first to the 1.4705 area and then to 1.4680. If the last gives up, 1.4650 and 1.4620 are next supports in line.

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Follow the markets with the author of the The best pair to trade now report:

Valeria Bednarik in her blog The advisor Blog.


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Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer.

Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.

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