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9 Jan 2015
EUR/USD shows no signs of strength, might see 1.1640 levels – FXStreet
FXStreet (Barcelona) - FXStreet Editor and Analyst, Omkar Godbole explains that EUR/USD lacks strength as it trades near yesterday’s close, further anticipating a selloff towards 1.1640 levels if the pair breaches the support at 1.1759.
Key Quotes
“The EUR/USD pair shows no signs of strength as it trades marginally above the previous session’s closing level at 1.1788. The daily RSI stays in the oversold region, despite which the sell-off continues.”
“Meanwhile, on the hourly charts, the pair has struggled to rise above the 50-DMA since Dec.26. Similar action is being witnessed today as the pair fails near the 50-DMA located at 1.1817 levels, which has pushed the hourly RSI back below 50.00 levels. Thus, an hourly closing below 1.18 levels is likely to see the pair re-test 1.1754 levels.”
“On the way down, the pair faces support levels located at 1.1771 (May 2004 low) and 1.1759 (Apr 2004 low) respectively. It remains to be seen whether the pair breaches these support levels on the daily charts, thereby opening doors for a further sell-off towards Nov and Dec 2005 lows around 1.1640 levels.”
“On the other hand, a short corrective move towards 1.1870 levels can be anticipated if the pair confirms a breach of the hourly 50-SMA resistance located at 1.1817.”
Key Quotes
“The EUR/USD pair shows no signs of strength as it trades marginally above the previous session’s closing level at 1.1788. The daily RSI stays in the oversold region, despite which the sell-off continues.”
“Meanwhile, on the hourly charts, the pair has struggled to rise above the 50-DMA since Dec.26. Similar action is being witnessed today as the pair fails near the 50-DMA located at 1.1817 levels, which has pushed the hourly RSI back below 50.00 levels. Thus, an hourly closing below 1.18 levels is likely to see the pair re-test 1.1754 levels.”
“On the way down, the pair faces support levels located at 1.1771 (May 2004 low) and 1.1759 (Apr 2004 low) respectively. It remains to be seen whether the pair breaches these support levels on the daily charts, thereby opening doors for a further sell-off towards Nov and Dec 2005 lows around 1.1640 levels.”
“On the other hand, a short corrective move towards 1.1870 levels can be anticipated if the pair confirms a breach of the hourly 50-SMA resistance located at 1.1817.”