EUR/USD Adjusts After Tuesday's Climb

On Wednesday Euro/Dollar traded within 55 pip range. The European currency depreciated from 1.2574 to 1.2518 yesterday, not matching the positive money flow sentiment at around 15%, closing the day at 1.2528. This morning the Euro is trading quietly, with movements at the lower end of yesterday's range for now.

On the 1 hour chart the upward channel is on hold, while on the 3 hour chart wide range trading has formed. Break above the nearest resistance and yesterday's top at 1.2574 may trigger further strengthening of the Euro. Going bellow today's bottom and first support at 1.2518, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2400.

Today's focus is on Germany Unemployment, Italy Business confidence, and EU17 Economic sentiment index and Business climate indicator, at 7:55, 8, and 9 GMT respectively.

Quotes are moving just above the 20 and 50 EMA on the 1 hour chart, indicating slim bullish pressure. The value of the RSI indicator is positive and calm, MACD is positive and quiet too, while CCI is in line with the 100 line on the 1 hour chart, giving over all light long signals.

Technical resistance levels: 1.2574 1.2690 1.2814 Technical support levels: 1.2518 1.2400 1.2277

Yesterday we made +22 pips profit/loss on EUR/USD from the following sent to clients only signal: 5:15 GMT+1 Buy EUR/USD at 1.2552 SL 1.2526 TP 1.2602, exit sent at 10:08 GMT+1. Total yesterday +54, as shown at http://www.zifx.com/performance-past.php.