Technical Analysis

Daily Technical Report

EUR/USD made a bullish intraday reversalyesterday (hammer). Coupled with the proximityof the key support at 1.3296,

EURUSD: Yesterday’s spring bottom (false downside break) certainlyargues for having entered an upside correction phase.

The bounce from fresh 2014 and 9 month lows Wednesday has seen initial support develop on the hourlies at $1.3378 but

Aussie bounced Tuesday, spiking above 55 & 21-DMAs and closing above the 100-DMA.

EUR/USD has failed to break the hourlyresistance at 1.3444 (28/07/2014 high). Thesubsequent new (marginal) lows confirm anunderlying downtrend.

EURUSD: Now targeting 1.3324/295. The euro is back on its losing streak as the chance of correction

Following recent failures at the key $1.3445 resistance level the EUR/USD resumed its move lower Tuesday with fresh 2014 and

AUD/USD marginally traded above the previous initial resistance before heading sharply lower and managing a relatively bearish close.

EUR/USD is bouncing within its underlyingdowntrend. Monitor the hourly resistance at1.3444 (28/07/2014 high).

EURUSD: Could still recheck the high 1.34s. European (Markit) PMI and the US ISM are the main distractions for the day.

Rallies continue to stall ahead of $1.3445 with bulls needing a close above to confirm an easing of bearish pressure and

Layers of resistance are noted in the $0.9338-0.9426 region including 55 & 21-DMAs with bulls needing a close above the $0.9426 level this week to