EUR/USD 1.3790 - 3 February 2011

EUR/USD Open 1.3814 High 1.3862 Low 1.3766 Close 1.3803

On Wednesday the Euro/Dollar adjusted downwards with nearly 100 pips. The European currency depreciated from 1.3862 to 1.3766 yesterday, not matching the positive Interbank sentiment projection at over +32%, closing the day at 1.3803. This morning trading is hesitant and without clear direction for now. 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 yesterday's top at 1.3862 may trigger further strengthening of the Euro. Going bellow yesterday's bottom and first support at 1.3766, however, would confirm continuation of the bearish trend, towards next objective downwards 1.3650. Today's focus is on Italy, France, Germany and EU17 PMI services, EU16 Retail sales, EU17 ECB meeting announcement and press conference, at 8:45, 8:50, 8:55, 9, 10, 12:45 and 13:30 GMT respectively. Quotes are moving in line with the even 20 and 50 EMA on the 1 hour chart, indicating neutral market. The value of the RSI indicator is neutral and calm, MACD is neutral and quiet too, while CCI has thinly crossed down the 100 line on the 1 hour chart, giving overall neutral signals.
Technical resistance levels: 1.3862 1.3977 1.4100
Technical support levels: 1.3766 1.3650 1.3537

Trading range: 1.3780 - 1.3840
Trend: Upward
Buy at 1.3790 SL 1.3760 TP 1.3830

Yesterday we made +17 pips profit on EUR/USD from the following signal:
5:33 GMT Buy EUR/USD at 1.3838 SL 1.3812 TP 1.3888, exit sent at 7:38 GMT.
Total yesterday +105, as shown in details at