FXstreet.com (Barcelona) - The Euro has extended its decline from 1.4646 day high to a fresh 2-week low at 1.4525 after disappointing U.S. Consumer Consumer Confidence, and the pair remains trading very close ti the mentioned low around 1.4545 at the moment of writing.
On a wider point of view, the Euro remains trading on a steady downward trending channel since peaking at 1.4845 on September 23, and the trend is about to continue, according to Mohammed Isah, technical analyst at FXTechstrategy: If the current weakness drives the pair through that level, we could witness further downside losses towards the 1.4446 level, its Aug 05'09 high where a cap is expected. Further down, a solid support should be provided by its MT rising trendlinecurrently at 1.4280 if the latter level is violated. Its daily studies are bearish and pointing lower suggesting further weakness.
On the upside, Isah points out to a reaction above 1.4844 level to re-activate upside bias: On the other hand, in order for its medium term uptrend to be triggered and its present corrective weakness halted, a return above the 1.4844 level must occur putting the next upside at the 1.4875 level, representing its Sept 21'09 high ahead of the its psycho level at 1.5000 and then the 1.5082 level, its Aug 10'08 high.