FXstreet.com (Barcelona) - The Euro reached a new low against the Dollar, and, according to Cornelius Luca, economist at Global Forex Trading, it has entered into oversold territory: Euro/dollar sank to a new low for the downtrend early Monday but ended the day basically unchanged. There may be a head-and-shoulders formation targeting 1.4085, but the pair is oversold in the short term so the next immediate move should be up. Resistance and support levels, according to Luca, stand as follows: Initial resistance is seen at 1.4490. The next level is 1.4525. Above 1.4635, strong resistance is seen at 1.4750. Immediate support is at 1.4354. A break below this Fibonacci retracement level would suggest a test of 1.4290. Below 1.4250, euro/dollar has good support at 1.4165.
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