The pair has reversed its intraday strength and is weakening with eyes on its Jun 03’09 low at 1.3211. With EUR now holding firmly below its break out point at 1.3433 and maintaining a strong downside momentum, a break through the 1.3211 level will clear the way for a run at its big psycho level located at 1.3000. We expect this level to provide a considerable support on initial test and force the pair back up but if that fails, further weakness will target its April’09 low at 1.2884. Its daily studies are bearish and pointing lower suggesting more weakness. Alternatively, if the pair triggers a recovery, its intraday high at 1.3384 will serve as the next target ahead of its Mar 02’10 low at 1.3433 where a reversal of roles is expected to turn the pair lower again. Beyond there if seen will expose the 1.3568 level, its Mar 22’10 high. In a nutshell, EUR’s medium term downtrend looks to test the 1.3211 level and beyond.
No comments:
Post a Comment