Good day forex trading koalas.
In the previous EUR/USD Weekly Review, we noted that the SMA 20 was pointing up. Having said so, there was still the SMA 50 to be monitored before we could see a possibility of a sustained upwards push beyond the current range. 1.45 / 1.46 were turning out to be tough resistances. Fundamentally speculations were wild regarding the possibility of a third round of quantitative easing by the US Federal Reserve as Mr Bernanke announced the extension of the upcoming policy meeting to two days instead of the usual one.
Looking at the EUR/USD chart above, we note a bearish week for the currency pair. As mentioned last week, the current range is a strong range to break and without the indication from the SMAs of the possibility of a strong trend, the medium term outlook is uncertain.
SMA 20 = flat
SMA 50 = flat
Observation of the SMAs give us the uncertainty possibility again. With both SMAs flat, there is no clear indication of the possibility of a sustained trend. However it is important to note that the SMA 200, which usually suggests the long term momentum, lies right below the price action and it may serve as a support against any further bearish advances.
Continue on to TheGeekKnows.com for the fundamental analysis of the EUR/USD Weekly Review to understand more about the underlying market sentiments.
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