EUR/USD 1.4095 - 16 May 2011

EUR/USD Open 1.4072 High 1.4341 Low 1.4047 Close 1.4113

On Friday the Euro/Dollar corrected slightly upwards and later resumed decreasing with 375 pips. The European currency depreciated from 1.4341 to 1.4064 on Friday, not matching the positive Interbank sentiment projection at over +13%, closing the week at 1.4113. This morning the pair continued weakening, reaching down to 1.4047. On the 1 hour chart the new downward channel is intact, while on the 3 hour new downward channel has emerged. Break above the nearest resistance and Friday's top at 1.4341 may trigger further strengthening of the Euro. Going bellow today's bottom and first support at 1.4047, however, would confirm continuation of the bearish trend, towards next important objective downwards 1.3928. Today's focus is on Italy CPI and HICP, and EU17 Harmonized CPI and Trade balance, all at 9 GMT. Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is negative and calm, MACD is negative and quiet too, while CCI has thinly crossed down the 100 line on the 1 hour chart, giving overall short signals.
Technical resistance levels: 1.4341 1.4450 1.4567
Technical support levels: 1.4047 1.3928 1.3800

Trading range: 1.4105 - 1.4035
Trend: Downward
Sell at 1.4095 SL 1.4125 TP 1.4045

On Friday we made +16 pips profit on EUR/USD from the following signal:
6:24 GMT+1 Sell EUR/USD at 1.4234 SL 1.4260 TP 1.4184, exit sent at 6:32 GMT+1.
Total on Friday +111, as shown in details at