Forex Technical Update
EUR/USD 1H Chart 8/1/2012 7:15AM EDT
The EUR/USD continues to knock at the 1.2330 level, at one point cracking it during the 8/1 European session. The 1H chart shows this crack, but the close of these hourly bars are all below the key resistance pivot. We saw in the 1H chart that a swing projection targets the 1.2175 (61.8% retracement) level, but more conservatively the 1.22 handle, where the 200-hour SMA reside.
A push through 1.2330 opens up the 1.2390-1.24 area. The daily chart shows that a declining trendline also resides around 1.24, so a break above that can be telling of bullish take-over at least in the short to medium term.
A break above 1.2405 first opens up the 1.2593 level. The daily chart shows this to be the 38.2% retracement of the 1.3486 to 1.2040 swing.
Fan Yang CMT is a forex trader, analyst, educator and Chief Technical Strategist for FXTimes - provider of Forex News, Analysis, Education, Videos, Charts, and other trading resources.
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