DAILY EUR/USD TECHNICAL OUTLOOKLast Update At 21 Jan 2015 23:56GMT
Trend Daily Chart
Down
Daily Indicators
Falling
21 HR EMA
1.1590
55 HR EMA
1.1588
Trend Hourly Chart
Sideways
Hourly Indicators
Rising
13 HR RSI
60
14 HR DMI
+ve
Daily Analysis
Choppy trading to continue
Resistance
1.1774 - Last Thur's European high
1.1728 - Last Wed's low
1.1680 - Y'day's high
Support
1.1540 - Tue's low
1.1489 - Minor hourly sup
1.1460 - Last Fri's 11-year low
. EUR/USD - 1.1615... Euro swung wildly y'day ahead of Thur's ECB meeting. Price ratcheted higher fm 1.1542 at Asian open n climbed to 1.1641 in NY morning b4 falling briefly to 1.1565 after the news of ECB's bond purchase plan b4 rallying briefly again to 1.1680, however, renewed selling knocked price to 1.1562.
. Looking at the bigger picture, last week's breach of key sup at 1.1640 (2005 low) signals LT downtrend fm 1.6040 (2008 record high) to retrace the entire uptrend fm 0.8228 record low made in 2000 wud extend weakness twd 1.1212 in Q1, being the 'dynamic' 61.8% r of this move. On the upside, only a daily close abv 1.1728 signals temporary low is made n risks stronger retracement twd 1.1871 but price shud falter below 1.1976 (Jan 5 high) n yield another decline.
. Today, euro's retreat after y'day's brief rally to 1.1680 suggests correction fm said fresh 11-year low at 1.1640 has possibly ended there, break of 1.1540 (Tue's low) wud add credence to this view n bring re-test of this sup. Looking ahead, price is en route to 1.1403, being equality projection of 1.3995-1.2500 measured fm 1.2888 later this month. On the upside, abv 1.1680 wud risk stronger gain to 1.1728, then 1.1763 (being 38.2% r of 1.2254 to 1.1460).
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