FXstreet.com (Córdoba) - The Euro recovered part of f Friday's losses against the Dollar but still moves inside a big range with support at 1.4680 and resistance at 1.4860. The pair opened the week at the lowest level of the day near 1.4680. But started to rise and after the ISM report jumped to 1.4845 (intra-day high). The Euro failed to hold above 1.4800 and fell to 1.4725. Currently the pair is hovering around 1.4770.
Immediate resistance to the upside lies at 1.4805 and above at 1.4860. On the downside, support could be located at 1.4725 and below at 1.4700 and 1.4680.
Nicole Elliott, senior technical analyst at Mizuho Corporate Bank, affirms: The rally to a high at the psychological 1.5064 last month is seen as the tiny 'extension' we had warned of. We shall allow for consolidation in a fairly narrow range under here this month, roughly between Fibonacci retracement support at 1.4500 and 1.4900. More importantly, declines are seen as medium and long term buying opportunities for an even weaker US dollar towards year-end and into Q1 2010. A weekly close below 1.4200 would force us to adjust.