EUR/USD Technical Analysis: 4-Day Losing Streak Broken
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- EUR/USD Technical Strategy: Short at1.3644
- Support: 1.2659, 1.2602, 1.2532
- Resistance:1.2760, 1.2813, 1.2900
The Euro marked time to digest losses after four consecutive days of selling against the US Dollar. Near-term support is in the 1.2659-73 area, marked by the November 2012 low and the 38.2% Fibonacci expansion. A break below that on a daily closing basis exposes the 50% level at 1.2602. Alternatively, a move above the 1.2754-60 zone bracketed by the July 2013 bottom and the 23.6% Fib opens the door for a test of the 14.6% Fib at 1.2813.
We entered short EURUSD at 1.3644 in line with our long-term fundamental outlook and have since booked profit on half of the position. The rest remains open to capture any further downside momentum with a stop-loss at 1.3583, our initial objective.
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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.