EURUSD- Although EUR broke and closed above the 1.5000 level on Wednesday after testing its highest price since Aug’08, price action today saw the pair taking back part of those gains. With the significance of that level, a close above there on a weekly closing basis will be required to target additional upside towards the 1.5082 level, its Aug 10’08 high and then the 1.5283 level, its May 04’08 low. We retain our medium term bullish outlook on the pair but envisage that if a hold above the 1.5000 level is not sustained, corrective declines should follow. Downside objectives are located at the 1.4843/42 level, its Sept 23’09 high/Oct 15’09 low which is expected to fence off the bears and turn the pair back up but if that zone gives in, we could see further declines towards its Oct 12’09 low at the 1.4672 level with a violation of that level paving the way for further declines towards the 1.4479 level, its Oct 02’09 low and its MT rising trendline currently at 1.4470. On the whole, though retaining its medium term upside bias, immediate risk is its corrective weakness now shaping  up.

 

 

 

This report is prepared solely for information and data purposes. Opinions, estimates and projections contained herein are those of FXTechstrategy.com own as of the date hereof and are subject to change without notice. The information and opinions contained herein have been compiled or arrived at from sources believed to be reliable but no representation or warranty, express or implied, is made as to their accuracy or completeness and neither the information nor the forecast shall be taken as a representation for which FXTechstrategy.com incurs any responsibility. FXTstrategy.com does not accept any liability whatsoever for any loss arising from any use of this report or its contents. This report is not construed as an offer to sell or solicitation of any offer to buy any of the currencies referred to in this report