EUR/USD Technical Analysis 9 August 2010

On Friday the Euro/Dollar made sharp ascending movement. The European currency appreciated from 1.3162 to 1.3320 on Friday, not exactly matching the neutral Interbank sentiment projection, at +2%, closing the week at 1.3275. This morning bulls are hesitant for now, waiting for strength catalyst. On the 1 hour chart the upwards channel looks good, while on the 3 hour the upward channel is intact. Break above the nearest resistance and Friday's top at 1.3320 may trigger further recovery of the Euro. Going bellow Friday's bottom and first support at 1.3162, however, would confirm continuation of the bearish trend, towards next objective downwards 1.3070. Today's focus is on Germany Current account at 6 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 neutral and declining, MACD is positive and consolidating, while CCI has crossed down the 100 line on the 1 hour chart, giving overall light short signals.Technical resistance levels: 1.3320 1.3411 1.3320Technical support levels: 1.3162 1.3070 1.2981

Trading range: 1.3260 - 1.3325Trend: UpwardBuy at 1.3274 SL 1.3244 TP 1.3314

On Friday we made +26 pips profit on EUR/USD from the following signal:6:21 GMT+1 Buy EUR/USD at 1.3176 SL 1.3150 TP 1.3226 exit sent 8:39 GMT+1.Total on Friday +89, as shown in details at http://www.zifx.com/performance.php.