DAILY EUR/USD TECHNICAL OUTLOOKLast Update At 28 Jan 2015 23:58GMT
Trend Daily Chart
Down
Daily Indicators
Falling
21 HR EMA
1.1222
55 HR EMA
1.1222
Trend Hourly Chart
Sideways
Hourly Indicators
Falling
13 HR RSI
39
14 HR DMI
-ve
Daily Analysis
Consolidation with downside bias
Resistance
1.1540 - Last Tue's low, now res
1.1460 - Jan 16 low, now res
1.1423 - Wed's high
Support
1.1295 - Mon's high, now sup
1.1261 - Hourly chart
1.1224 - Tue's low
. EUR/USD - 1.1283... Although euro rebounded fm 1.1331 to 1.1383 in Asia Wed due partly to cross-buying in euro, renewed selling interest capped intra-day gain n price fell to 1.1307 in NY morning. Later, euro ratcheted higher to to 1.1370 after unchanged Fed rate decision b4 tumbling to 1.1273 near NY close.
. Looking at the hourly n daily charts, although euro's rally fm Mon's fresh 11-year trough at 1.1098 to 1.1423 Wed signals the LT downtrend fm 1.6040 (2008 record high) has formed a temporary low there, y'day's decline to 1.1273 signals 1st leg of correction has ended there n consolidation with near term downside bias remains for weakness to 1.1261, reckon the 'dynamic' 61.8% r of 1.1098-1.1423 wud contain weakness n bring rebound. Looking ahead, abv 1.1423 wud yield another leg of correction to 1.1460 (Jan 16 low) n then twd 1.1500 but as hourly oscillators wud display 'bearish diverging signals' on such a move, 1.1540 (38.2% r of 1.2254-1.1098) shud cap upside n yield strg retreat later.
. Today, in view of abv analysis, selling euro on recovery in anticipation of further weakness twd 1.1221/24 sup is favoured n one may even buy on such move later in the day. Abv 1.1327/33 signals low is possibly made, 1.1381/83.
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