EUR/USD 1.4306 - 25 August 2009

EUR/USD Open 1.4290 High 1.4353 Low 1.4281 Close 1.4302

On Monday Euro/Dollar traded within a 70 pip range after the significant rise last Friday, descending from 1.4353 to 1.4285, and closing the day at 1.4302. The downward channel may be renewed, indicating failure of ascending impulse and a potential bearish scenario. The signals are expected to be bearish in the short term with targets towards 1.4175. Break bellow that level could lead to further dropping towards 1.4055. But only a consistent movement bellow 1.4175 will confirm the bearish outlook. Immediate resistance is 1.4355, followed by 1.4470. Break above this level may trigger further upward pressure and to lead to further recovery of the European currency. The CCI indicator is neutral on the 1 hour chart, suggesting calm trading.

Technical resistance levels: 1.4355 1.4470 1.4600

Technical support levels: 1.4280 1.4175 1.4055

Trading range: 1.4320 - 1.4255

Trend: Downward

Sell at 1.4306 SL 1.4336 TP 1.4266

Yesterday we made +28 pips profit on EUR/USD from the following signal:

7:50 GMT+1 Sell EUR/USD at 1.4311 SL 1.4337 TP 1.4261 exited at 8:00 GMT

Total yesterday +129, as shown at www.zifx.com/performance.php