EUR/USD rebounding from 1.3992

By IBTimes Staff Reporter | January 27 2010 6:08 PM

FXstreet.com (Buenos Aires) - EUR/USD Current price: 1.4030. Pair tested for a brief moment levels under 1.4000 after last FOM statement show Kansas City Fed President Thomas Hoenig voted against leaving short-term interest rates at ultra-low levels; first time in over a year decision is not unanimous. Speculation about a sooner rate hike is back on the table, and dollar is mostly up across the board despite last hours recovery in Wall Street.

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Hourly charts show the pair is correcting slightly to the upside, yet trend remains bearish, supported by 20 SMA slope above current price. Bigger time frames also support the bias, said Valeria Bednarik, collaborator at FXstreet.com.

Support levels: 1.4010 1.3970 1.3930. Resistance levels: 1.4045 1.4085 1.4120.

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