EUR/USD At 4 Month High On Fed Easing

On Thursday Euro/Dollar continued increasing with 150 pips on on Fed stimulus. The European currency appreciated from 1.2851 to 1.3002 yesterday, matching the positive money flow sentiment at nearly 26%, closing the day at 1.2985. This morning the Euro pushed even further up, ascending to 1.3031.

On the 1 hour chart the upward channel has sharpened its angle, while on the 3 hour chart the upward channel looks good. Break above the nearest resistance and today's top at 1.3031 may trigger further strengthening of the Euro. Going bellow yesterday's bottom and first support at 1.2851, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2734.

Today's focus is on Germany Wholesale prices, EU17 Harmonized CPI, USA Retail sales, CPI, Industrial production, Capacity utilisation, Michigan sentiment index, and Business inventories, at 6, 9, 12:30, 13:15, 13:55 and 14 GMT respectively.

Quotes are moving above the 20 and 50 EMA on the 1 hour chart, indicating bullish pressure. The value of the RSI indicator is positive and rising, MACD is positive and inclining upwards too, while CCI has crossed up the 100 line on the 1 hour chart, giving over all long signals.

Technical resistance levels: 1.3031 1.3146 1.3270 Technical support levels: 1.2851 1.2734 1.2610

Yesterday we made +10 pips profit/loss on EUR/USD from the following sent to clients only signal: 9:06 GMT+1 Buy EUR/USD at 1.2921 SL 1.2895 TP 1.2971, exit sent at 7:22 GMT+1. Total yesterday +87, as shown at http://www.zifx.com/performance-past.php.