EUR/USD 1.4075 - 23 May 2011

EUR/USD Open 1.4103 High 1.4345 Low 1.4063 Close 1.4151

On Friday the Euro/Dollar resumed decreasing strongly with over 210 pips. The European currency appreciated from 1.4345 to 1.4128 on Friday, not matching the positive Interbank sentiment projection at nearly +14%, closing the week at 1.4151. This morning the pair descended even further, dropping down to 1.4338. On the 1 hour chart the downward channel is still on hold, while on the 3 hour wide range trading has formed. Break above the nearest resistance and Friday's top at 1.4345 may trigger further strengthening of the Euro. Going bellow today's bottom and first support at 1.4063, however, would confirm continuation of the bearish trend, towards next important objective downwards 1.3950. Today's focus is on France, Germany and EU17 PMI, and Italy Consumer confidence, at 5, 7, 7:30 and 8 GMT respectively. Quotes are moving way bellow the 20 and 50 EMA on the 1 hour chart, indicating strong bearish pressure. The value of the RSI indicator is negative and declining, MACD is negative and quiet, while CCI has crossed down the 100 line on the 1 hour chart, giving overall short signals.
Technical resistance levels: 1.4345 1.4450 1.4563
Technical support levels: 1.4063 1.3950 1.3837

Trading range: 1.4085 - 1.4015
Trend: Downward
Sell at 1.4075 SL 1.4105 TP 1.4025

On Friday we made +17 pips profit on EUR/USD from the following signal:
8:51 GMT+1 Buy EUR/USD at 1.4329 SL 1.4303 TP 1.4379, exit sent at 9:01 GMT+1.
Total on Friday +89, as shown in details at http://www.zifx.com/performance.php.

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