EUR/USD 1.3110 - 13 January 2011

EUR/USD Open 1.3125 High 1.3144 Low 1.2961 Close 1.3127

On Wednesday the Euro/Dollar continued increasing significantly with nearly 180 pip range. The European currency appreciated from 1.2961 to 1.3144 yesterday, not matching the negative Interbank sentiment projection at under -9%, closing the day at 1.3127. This morning trading is tranquil and without clear direction for now. On the 1 hour chart the downward channel was broken upwards, while on the 3 hour chart quotes are testing the upper limit of the downward channel. Break above the nearest resistance and yesterday's top at 1.3144 may trigger further recovery of the Euro. Going bellow yesterday's bottom and first support at 1.2961, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2850. Today's focus is on France CPI and HICP, EU16 ECB meeting announcement and ECB press conference, at 6:30, 12:45 and 13:30 GMT respectively. Quotes are moving just above 20 and 50 EMA on the 1 hour chart, indicating slim bullish pressure. The value of the RSI indicator is positive and declining, MACD is positive and quiet, while CCI has thinly crossed up the 100 line on the 1 hour chart, giving overall light long signals.
Technical resistance levels: 1.3144 1.3255 1.3366
Technical support levels: 1.2961 1.2850 1.2737

Trading range: 1.3120 - 1.3060
Trend: Downward
Sell at 1.3110 SL 1.3140 TP 1.3070

Yesterday we made +27 pips profit on EUR/USD from the following signal:
8:29 GMT Buy EUR/USD at 1.3011 SL 1.2985 TP 1.3061, exit sent at 9:35 GMT.
Total yesterday +84, as shown in details at http://www.zifx.com/performance.php.

ZIFX.com