Forex: EUR/USD Technical Analysis – Trend Line Forces Pullback
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- EUR/USD Technical Strategy: Pending Short
- Support: 1.3698 (Jan 14 high), 1.3613 (38.2% Fib exp.)
- Resistance: 1.3770 (trend line), 1.3800 (double top)
The Euro pulled back from resistance marked by a falling trend line set from the October 2013 swing high and double top to meet support at 1.3698, the January 14 high. A break below this barrier on a daily closing basis targets the 38.2% level at 1.3613. Alternatively, a move above the trend line, now at 1.3770, exposes the 1.38 figure. We will continue to wait on the sidelines for now until a new short trade opportunity in line with our fundamental outlook presents itself after our previous attempt to sell the pair stopped out at breakeven.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for DailyFX.com
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.