On Tuesday, the EUR/USD decreased by 100 pips. The European currency depreciated from 1.2950 to 1.2847 yesterday, matching the negative money flow sentiment at under -15% and closing the day at 1.2848. The Euro descended slightly further this morning, dropping to 1.2840.
The downward channel is turning into range trading on the 1 hour chart, while quotes are held within wide trading range on the 3 hour chart. Breaking above the nearest resistance and yesterday's top at 1.2950 may trigger further strengthening of the euro. Going below today's bottom and first support at 1.2840, however, would confirm continuation of the bearish trend towards the next objective downwards of 1.2726.
Today's focus is on German Unemployment, EMU M3 money supply and Germany CPI and HICP, at 7:55, 8, and 12 GMT respectively.
Quotes are moving below the 20 and 50 EMA on the 1 hour chart, indicating bearish pressure. The value of the RSI indicator is negative and calm. The MACD is negative and quiet too, while the CCI has thinly crossed down the 100 line on the 1 hour chart, giving overall light short signals.
Technical resistance levels: 1.2950 1.3064 1.3190
Technical support levels: 1.2840 1.2726 1.2600
Yesterday we made +23 pips profit/loss on EUR/USD from the following sent to clients only signal:
5:15 GMT+1 Sell EUR/USD at 1.2915 SL 1.2941 TP 1.2865, exit sent at 8:25 GMT+1.
Total yesterday +143, as shown at our web site.
EUR/USD Chart" title="EUR/USD Chart">