EUR/USD rose for the beginning of the session on Tuesday, but gave up those gains before it was all said and done. The pair fell hard, but found the 1.31 level as being supportive yet again. The area was once resistance and now is working as support in the pair. The next few sessions should be fairly important as we test these areas. The fact that the 1.32 has held as resistance again is a bearish sign, (it is the 38.2% Fibonacci level.) but the 1.30 to 1.31 level is supportive and should be a positive level for the bulls. With this in mind, we see this pair as being in a tight range, and we need to see a break below the 1.29 level to get bearish and a break above the 1.32 level to buy. Until then, we are staying flat.
EUR/USD Forecast February 1, 2012, Technical Analysis
EUR/USD Pivot Points (Time Frame: 1 Day)
Name S3 S2 S1 Pivot R1 R2 R3