Forex: EUR/USD may target 1.3920/50 after neckline break - V.Bednarik (Barcelona) - Euro slide extended to a fresh 3-week low around 1.4160, closing the day, just in the daily ascendant trend line coming from 1.2960 mid January low. The political crisis in Athens intensified, reaching new highs in uncertainty as fears of contagion to the banking sector and other periphery sovereign debts increase.

After hitting the nail on the head on her previous EUR/USD analysis, Valeria Bednarik, Chief Analyst at sees now euro on extremely oversold conditions in the hourly chart, with RSI at 14.30, although "pair shows no signs of attempting a bullish correction, and remains steady below 1.4200, with momentum turning back lower, and 20 SMA above current price heading south" she said.

"4 hours indicators are also strongly bearish, while market risk sentiment points for further slides in the cross. Having broke the neckline of the H&S clear in 4 hours chart at 1.4300, target of the figure comes at 1.3920/50 price zone" Valeria added.

Levels to be taken are, Support levels: 1.4150 1.4110 1.4060, Resistance levels: 1.4200 1.4235 1.4270.