EURUSD: Recaptures The 1.3735 Level, Challenges The 1.3787 Level

EURUSD: A follow - through higher on its Thursday strength has seen EUR pushing through the 1.3735 level, its Mar 03’10 high and challenging the 1.3787 level, its Feb 17’10 high in today’s trading today. A decisive break and hold above the 1.3787 level will propel the pair further higher towards its Feb 09’10 low at 1.3838 where we expect a cap of its corrective recovery gains to turn it back lower again in sequence with its broader medium term downtrend. Its daily stochastics is bullish and pointing higher supporting its current upside offensive. Alternatively, if a failure at its current price levels occurs, threats of a decline towards the 1.3735 level could be seen with a break of there turning attention to its 2010 low at 1.3433. A clean invalidation of there will activate further weakness towards the 1.3400 level with a break of there setting the stage for more downside pressure targeting its Jun 03’09 low at 1.3211 and next its big psycho level at 1.3000.

Mohammed Isah
Market Analyst
www.fxtechstrategy.com

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