The EUR/USD formed on Friday a negative outside day reversal after a 1,3545 overshooting; we have now 1,3560 – 1,3350 the levels to follow in the coming hours. A daily closing below 1,3350 will be very negative suggesting a possible drop toward October’s low at 1,3146!!
The indicators of the daily chart are still below the line as well as those of the weekly one despite a positive weekly closing, however interior the range of the previous week. The indicators of the s/t charts are mixed this morning supporting further consolidation. The 1,3545 overshooting formed however bearish divergences suggesting the drop we saw toward the 200 hours line at 1,3371 was corrective. In fact we have a potential positive reversal suggesting a potential s/t target at 1,3624!! An hourly closing above 1,3445 will support a resumption of the move up.
We wait for further confirmation but overall we expect higher levels. Let’s look for a buying opportunity.
Click here to read the full report:
http://www.easyforexnews.net/wp-content/uploads/2011/12/EUR-USD-12.05.11.pdf
FUTURE TREND RESEARCH