EUR/USD 1.3844 - 2 February 2011

EUR/USD Open 1.3829 High 1.3862 Low 1.3700 Close 1.3824

On Tuesday the Euro/Dollar increased significantly with nearly 150 pips. The European currency appreciated from 1.3700 to 1.3844 yesterday, matching the positive Interbank sentiment projection at over +33%, closing the day at 1.3824. This morning bulls bushed the pair even further higher to 1.3862. On the 1 hour chart the upward channel has resumed, while on the 3 hour chart the upward channel is intact. Break above the nearest resistance and today's top at 1.3862 may trigger further strengthening of the Euro. Going bellow yesterday's bottom and first support at 1.3700, however, would confirm continuation of the bearish trend, towards next objective downwards 1.3588. Today's focus is on EU16 PPI at 10 GMT. Quotes are moving above the 20 and 50 EMA on the 1 hour chart, indicating bullish pressure. The value of the RSI indicator is positive and declining, MACD is thinly positive and quiet, while CCI has crossed up the 100 line on the 1 hour chart, giving overall long signals.
Technical resistance levels: 1.3862 1.3977 1.4100
Technical support levels: 1.3700 1.3588 1.3470

Trading range: 1.3830 - 1.3895
Trend: Upward
Buy at 1.3844 SL 1.3814 TP 1.3884

Yesterday we made +37 pips profit on EUR/USD from the following signal:
5:33 GMT Buy EUR/USD at 1.3720 SL 1.3694 TP 1.3770, exit sent at 7:54 GMT.
Total yesterday +154, as shown in details at http://www.zifx.com/performance.php.

ZIFX.com