EUR/USD 1.2794 - 16 August 2010

EUR/USD Open 1.2770 High 1.2900 Low 1.2735 Close 1.2748

On Friday the Euro/Dollar continued decreasing. The European currency depreciated from 1.2900 to 1.2751 on Friday, not matching the positive Interbank sentiment projection, at nearly +3%, closing the week at 1.2829. This morning the pair is correcting upwards, but renewal of bearish movements can also be expected. On the 1 hour chart new downward channel looks good, while on the 3 hour chart new downward channel is shaping. Break above the nearest resistance and Friday's top at 1.2900 may trigger further recovery of the Euro. Going bellow today's bottom and first support at 1.2735, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2640. Today's focus is on EU 16 Harmonized CPI at 9 GMT. Quotes are moving just above the 20 and bellow the 50 EMA on the 1 hour chart, indicating short term bullish and medium term bearish pressure. The value of the RSI indicator is positive and calm, MACD is negative and inclining upwards, while CCI has crossed up the 100 line on the 1 hour chart, giving overall light long signals.
Technical resistance levels: 1.2900 1.3019 1.3150
Technical support levels: 1.2735 1.2640 1.2512

On Friday we made +17 pips profit on EUR/USD from the following signal:
7:01 GMT+1 Buy EUR/USD at 1.2889 SL 1.2863 TP 1.2939 exit sent at 8:10 GMT+1.
Total on Friday +108, as shown in details at http://www.zifx.com/performance.php.

EUR/USD