Trading strategy: small long at 1.2400, stop at 1.2330 (0.5% risk), 1st objective at 1.2450, 2nd objective at 1.2500
Yesterday's large recovery confirmed that the move to 1.2150 was corrective and short-term sentiment remains bullish - 1.2500 being under pressure at the at time of writing. Pullbacks may find support into former resistance zone - around 1.2400 and a bit lower, at 1.2350. On the upside, next notable barrier is formed by 1.2600 and a breakout within the coming days will favor further upside action towards the 1.3 handle. Buying dips could be a good bet for now, as the euro may conserve gains - closing the week above 1.2500. The NFP data release is the most important event today, and it is widely expected to print a negative figure. Current exchange rate is 1.2493 @06:35 GMT
Support: 1.2400, 1.2350, 1.2200 and 1.2150 Resistance: 1.2500, 1.2600 and 1.2660 Market sentiment: long term - bearish, medium term - bearish, short term - bullish, intra-day - bullish
- EURUSD 4hrs chart 7-2-2010
- GBPUSD 4hrs chart 7-2-2010
- AUDUSD 4hrs chart 7-2-2010
- Gold daily chart 7-2-2010
Have a great weekend!