The FX Trader’s view - The EUR/USD has continued to grind lower, reluctant to embark on any meaningful rebound phase. Earlier supports have given way but, now, the 61.8% pullback level has been neared, offering sidelined bulls another chance.
- WEEKLY CHART: The reversal in trend at the 76.4% recovery level has so far been characterised by muted recovery attempts. Earlier support, which included the old 1.3737 Mar-09 high area, failed and the 61.8% retracement around 1.3400 is now under scrutiny. Now look closer…
- DAILY CHART: Note how the s/term chart structure has subtly changed in Feb – this has been accompanied by positive RSI divergence signs, which call for bears to be more cautious now. This is occurring on the approach to the 61.8% pullback level (see Weekly chart above). At this stage a close above the 1.3800 area would be an initial positive sign, but further s/term indecision could be seen before any recovery got properly underway.
[For the complete and illustrated version of this and future Updates be sure to sign up at www.sevendaysahead.com]
No comments:
Post a Comment