EURUSD: Prefer to sell rallies
EURUSD: 1.0581
EurUsd is more or less unchanged today after a choppy session (1.0537/95) leaving the medium term outlook unchanged.
The short term momentum indicators still look a little more positive, and on the topside, minor resistance will be seen at the session high ahead of 1.0605/10 and 1.0675/80. Above here looks unlikely today, but we could potentially see a move back to 1.0700 and above. Near term support will arrive at the session low, and then again as we approach 1.0500 and the 1.0493 22 Feb low, below which there is not too much support ahead of the 11 January low of 1.0453. Below that there is again too much to support it ahead of the 3 Jan low of 1.0340 although that will be for another day. For today, with the 1 and 4 hour charts looking mildly positive, a squeeze back towards 1.0600/30 would note really surprise but selling into rallies remains the preferred medium term theme.
| 24 Hour: Prefer to sell rallies | Medium Term: Mildly bearish | ||
| Resistance | Support | ||
| 1.0700 | 22 Feb high | 1.0537 | Session low |
| 1.0678 | 16 Feb high | 1.0493 | 22 Feb low |
| 1.0635 | (76.4% of 1.0678/1.0493) | 1.0480 | Minor |
| 1.0607/10 | (61.8% of 1.0678/1.0493)/ Descending trend resistance | 1.0453 | 11 Jan low |
| 1.0595 | Session high | 1.0420 | Minor |
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Author
Jim Langlands
FX Charts
Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.
