EUR/USD 1.2890 - 12 August 2010

EUR/USD Open 1.2841 High 1.3185 Low 1.2831 Close 1.2862

On Wednesday the Euro/Dollar continued descending significantly, as expected. The European currency depreciated from 1.3185 to 1.2831 yesterday, not matching the positive Interbank sentiment projection, at around +3%, closing the day at 1.2862. This morning the pair is correcting. On the 1 hour chart new downward channel is formed, while on the 3 hour chart the upward channel was broken downwards. Break above the nearest resistance and yesterday's top at 1.3185 may trigger further recovery of the Euro. Going bellow yesterday's bottom and first support at 1.2831, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2743. Today's focus is on Italy CPI and HICP, and EU 16 Industrial production at 8 and 9 GMT respectively. Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is positive and rising, MACD is negative and inclining upwards, while CCI has crossed down the 100 line on the 1 hour chart, giving overall mixed signals.
Technical resistance levels: 1.3185 1.3290 1.3400
Technical support levels: 1.2831 1.2743 1.2650

Yesterday we made +50 pips profit on EUR/USD from the following signal:
5:29 GMT+1 Sell EUR/USD at 1.3117 SL 1.3143 TP 1.3067 TP reached at 7:15 GMT+1.
Total yesterday +171, as shown in details at