EURUSD: Triggers Corrective Recovery, Eyes The 1.3787/1.3838 Levels

EURUSD: EUR having decisively broken and held above its Mar 03’10 high at 1.3735 has cleared the way for a move higher towards the 1.3787 level, its Feb 17’10 high. A clean penetration and negation of that level will leave the pair targeting its bigger resistance located at the 1.3838 level, its Feb 09’10 high. We expect a halt in price here to turn back the pair lower in line with its broader medium term downtrend. However, if that level gives in, its Feb 03’10 high sited at 1.4025 level will come in as the next upside target. Its weekly RSI has turned higher from the over zone suggesting further strength. In case of pullbacks, the 1.3735 level just violated should provide support and if that level is broken, our focus will turn to its Mar 09’10 low at 1.3536 followed by its 2010 low at 1.3433.

Mohammed Isah
Market Analyst
www.fxtechstrategy.com

This report is prepared solely for information and data purposes. Opinions, estimates and projections contained herein are the author's own as of the date hereof and are subject to change without notice. The information and opinions contained herein have been compiled or arrived at from sources believed to be reliable but no representation or warranty, express or implied, is made as to their accuracy or completeness and neither the information nor the forecast shall be taken as a representation for which the author incur any responsibility. The does not accept any liability whatsoever for any loss arising from any use of this report or its contents. This report is not construed as an offer to sell or solicitation of any offer to buy any of the currencies referred to in this report