EUR/USD 1.3450 - 20 January 2011

EUR/USD Open 1.3450 High 1.3539 Low 1.3372 Close 1.3472

On Wednesday the Euro/Dollar continued increasing significantly with almost 170 pips. The European currency appreciated from 1.3372 to 1.3539 yesterday, matching the positive Interbank sentiment projection at nearly +32%, closing the day at 1.3472. This morning trading is hesitant and still within yesterday's range. On the 1 hour chart the upward channel looks good, while on the 3 hour chart trading is within wide range. Break above the nearest resistance and yesterday's top at 1.3539 may trigger further strengthening of the Euro. Going bellow yesterday's bottom and first support at 1.3372, however, would confirm continuation of the bearish trend, towards next objective downwards 1.3253. Today's focus is on Germany PPI at 7 GMT. Quotes are moving just bellow the 20 and above the 50 EMA on the 1 hour chart, indicating short term neutral and medium term bullish pressure. The value of the RSI indicator is negative and inclining upwards, MACD is thinly positive and quiet, while CCI is in line with the 100 line on the 1 hour chart, giving overall neutral to light long signals.
Technical resistance levels: 1.3539 1.3650 1.3762
Technical support levels: 1.3372 1.3253 1.3140

Trading range: 1.3440 - 1.3500
Trend: Upward
Buy at 1.3450 SL 1.3420 TP 1.3490

Yesterday we made +50 pips profit on EUR/USD from the following signal:
5:30 GMT Buy EUR/USD at 1.3445 SL 1.3419 TP 1.3495, TP reached at 7:33 GMT.
Total yesterday +135, as shown in details at