EUR/USD Open 1.2705 High 1.2739 Low 1.2672 Close 1.2708

On Monday Euro/Dollar continued decreasing insignificantly with 40 pips. The European currency depreciated from 1.2739 to 1.2697 yesterday, matching the negative money flow sentiment at around -21%, closing the day at 1.2708. This morning the Euro weakened further, dropping down to 1.2672.

On the 1 hour chart new downward channel has formed, while on the 3 hour chart the upward channel is turning into range trading. Break above the nearest resistance and yesterday's top at 1.2739 may trigger further strengthening of the Euro. Going bellow today's bottom and first support at 1.2672, however, would confirm continuation of the bearish trend, towards next objective downwards 1.2560.

Today's focus is on Italy CPI and HICP, Germany ZEW economic expectations index, and US Federal budget, at 9, 10, and 20 GMT respectively.

Quotes are moving bellow the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is neutral and calm, MACD is negative and quiet, while CCI has crossed down the 100 line on the 1 hour chart, giving over all light short signals.
Technical resistance levels: 1.2739 1.2850 1.2973
Technical support levels: 1.2672 1.2560 1.2435

Yesterday we made +34 pips profit/loss on EUR/USD from the following sent to clients only signal:
5:19 GMT Sell EUR/USD at 1.2731 SL 1.2757 TP 1.2681, exit sent at 8:07 GMT.
Total yesterday +108, as shown at our web site.

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