Eur/Usd remains trapped in a very small range between 1.4200 (failed break send it to test 1.4180 zone, but quickly come back above the level) and 1.4250. With the lack of news, and Wall Street futures rising fast, expect some upside momentum in the pair, if breaks above yesterday’s high of 1.4250 first resistance for today. Above, we have the 1.4290 zone, and then the year high at 1.4335. I expect the pair to rebound around that level, if reached. To the downside, we have a congestion zone between 1.418071.4200, so clear move under that level could trigger some downside corrections, with next support at 1.4140.
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2 Responses to “Eur/Usd holding the range”
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Yesterday’s breakout above the 2 year downtrend and clearance of 1.415 propelled the market to the first hurdle at 1.4250. Any move higher looks like it could be met with short term RSI Divergence and the stochastic on the daily chart are at extremely overbought levels. Expect consolidation between 1.4150 and 1.4250 in the next 24 hours to work off these overbought conditions before making a fresh move, I don’t think it will go as high as 1.4350…I think it’s too ambitious
http://www.ac-markets.com/forex-news/forex-alerts.aspx alerts about Bernanke’s comments…
Regards!
Hi! Fx! I do agree movements above 1.4350 are ambitious, and seems the range will hold for some time still. Tks for the link of Bernanke’s comments!
Regards
Val