mercoledì 12 febbraio 2014

Prospect Of Rate Hike Hits The Euro

EUR/USD Open 1.3587 High 1.3653 Low 1.3561 Close 1.3592

On Wednesday Euro/Dollar decreased with 60 pips. The European currency depreciated from 1.3653 to 1.3561 yesterday, not matching the positive money flow sentiment at almost +7%, closing the day at 1.3592. This morning the Euro is trading quietly, with movements at the lower end of yesterday’s range for now.

On the 1 hour chart the downward channel has turned into range trading, while on the 3 hour chart trading is within wide range. Break above the nearest resistance and yesterday’s top at 1.3684 may trigger further strengthening of the Euro. Going below yesterday’s bottom and first support at 1.3561, however, would confirm continuation of the bearish trend, towards next objective downwards 1.3445.

Today’s focus is on Germany CPI and HICP, ECB Monthly Report, and U.S. Initial jobless claims, Retail sales and Business inventories, at 7, 9, 13:30 and 15 GMT respectively.

Quotes are moving just below the 20 and above the 50 EMA on the 1 hour chart, indicating short term slim bearish and medium term bullish pressure. The value of the RSI indicator is neutral and hesitant, MACD is thinly positive and quiet, while CCI has crossed up the 100 line on the 1 hour chart, giving over all light long signals.

Technical resistance levels: 1.3653 1.3765 1.3790

Technical support levels: 1.3561 1.3445 1.3320

Yesterday we made +24 pips profit/loss on EUR/USD from the following sent to clients only signal:

5:15 GMT Buy EUR/USD at 1.3629 SL 1.3603 TP 1.3679, exit sent at 10:27 GMT.

Total yesterday +132, as shown ;here.

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