Forex Technical Update
July 15, 2010
- Daily: The EUR/USD is surging towards 1.30/1.31 area as noted in yesterday’s post. The European session saw the EUR/USD surge more than 100 pips. This came after some consolidation in the Asian session.
- In the daily chart we see today’s price action break above a declining trendline suggesting a move towards 1.30/1.31 area. This is 150% expansion and 61.8% retracement area.
- The RSI shows bullish momentum as well, and any possible negative reversal is invalid.
- Daily: The greenback is weak across the board. The GBP/USD pair is breaking above a declining channel resistance just like the EUR/USD. It is looking to rally to the previous high near 1.55, and may extend to 1.57.
- The 1.57 area is also an important powerline that served as support for the rounded top action between May ’09 to Jan ’10.
Fan Yang
Currency Analyst
Commodity Trading Advisor
Information and opinions contained in this report are for educational purposes only and do not constitute an investment advice. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness. FXTimes will not accept liability for any loss of profit or damage which may arise directly, indirectly or consequently from use of or reliance on the trading set-ups or any accompanying chart analyses.
All screenshots are made from VT Trader 2.0 and are of actual market data at the time of the screenshot.
