Quote of the day: “There can be as much value in the blink of an eye as in months of rational analysis.” – Malcolm Gladwell
EURUSD – 1.4350 @06:45 GMT
Good morning. Support at 1.4330 formed by the half retrace value of 1.3970 to 1.4695 is being tested at time of writing as the euro’s decline continued on Friday. My plan to sell at 1.4550 worked well and I closed the entire position at 1.4350. In case of a pullback to the upside, a possible selling point stands around 1.4430, but it’s never late to look for selling opportunities when a breakdown is likely, therefore keep an eye on this 1.4300/30 support zone, because a potential break would open the door for a slide towards $1.400. Both daily and 4-hrs studies are currently bearish and will stay this way while the pair holds below 1.4500. Today’s notable event in the FX Calendar is Trichet’s Speech at 14:00 GMT.
Trading strategy: looking to sell on potential pullback to 1.4430, initial stop at 1.4480 (0.5% risk), target open
Support: 1.4300/30, 1.4250 and 1.4200
Resistance: 1.4400, 1.4430/50 and 1.4500
Market sentiment: long term – mixed, medium term – bullish, short term – bearish, intraday – bearish
- EURUSD 4hrs chart 6-13-2011