EUR/USD Technical Analysis 16 July 2010

On Thursday Euro/Dollar continued rising significantly. The European currency appreciated from 1.2707 to 1.2953 yesterday, not exactly matching the weak positive Interbank sentiment projection, at nearly +5%, closing the day at 1.2936. This morning the pair is consolidating so far. On the 1 and 3 hour charts the upward channel was renewed and is intact. Break above the nearest resistance and yesterday's top at 1.2953 may trigger further recovery of the Euro. Going bellow yesterday's bottom and first support at 1.2707, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2600. Today's focus is on Germany Wholesale at 6 GMT. Quotes are moving just above the 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 calm, while CCI has crossed up the 100 line on the 1 hour chart, giving overall light long signals.Technical resistance levels: 1.2953 1.3040 1.3151Technical support levels: 1.2707 1.2600 1.2488

Trading range: 1.2890 - 1.2965Trend: UpwardBuy at 1.2904 SL 1.2874 TP 1.2954

Yesterday we made +30 pips profit on EUR/USD from the following signal:5:28 GMT+1 Buy EUR/USD at 1.2736 SL 1.2710 TP 1.2786 exit at 9:17 GMT+1.Total yesterday +182, as shown in details at http://www.zifx.com/performance.php.