EUR/USD Technical View

EurUsd tested both the 1.4700 resistance and the 1.4611 support represented by the 61.8 Fib Retracement and an ascending trendline on the daily charts. The pair is trading between the above mentioned support and resistance areas and we have to wait for a breakout that will bring some additional volatility; as we mentioned in our previous commentary a move below the 1.4600 round number and the second trendline connecting higher lows on the daily chart will open up the 1.4500 area as a bearish target, an area which coincides with the 50.0 Fibonacci of the above mentioned move up. And although the daily oscillators have entered into an oversold zone while the pair is below 1.4700 we maintain our mid term bearish bias.

Resistance Levels

• 1.5000– round number
• 1.4966- Nov 23rd high
• 1.4735 –Nov 9th High

Support Levels

• 1.4500- round number
• 1.4300 – Sept 30th High
• 1.4000 – Round number
• 1.3850 – July 24th High

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Monday’s Dec 3rd midday analysis -13.00 GMT

EurUsd retested the 1.4700 level now turned into resistance and has maintained just above last week’s lows around the 1.4650 area. The bearish bias is still valid and we expect a move towards the 1.4600 level later in the day.. we have some US data out at 13.30 GMt that could have an impact but a move south is still in play.

GbpUsd traded inside Friday’s range so far, testing the 2.0650 resistance in the European session. Although it printed a lower low today the pair doesn’t seem to have enough momentum to make a stronger move south, once again we have to keep an eye out for the 13.30 GMT US data that can increase the volatility and thus support a bigger move.

EUR/USD Technical View

EurUsd traded above the 1.4800 level for the first three days of the week, but after a failed attempt at breaking lower on Wednesday the second try was successful and we witnessed a drop on Thursday and Friday, a drop that broke through the 1.4700/1.4735 support area and got very close to the 1.4600 round number which is the 61.8 Fibonacci retracement line of the last leg up from 1.4000 to the YTD high at 1.4967. Looking at the recent price action we can expect that the down move to continue although a retest of the trendline the pair broke through on Friday is to be expected, that should offer a new opportunity to enter short. Moving below the 1.4600 round number and a second trendline connecting higher lows on the daily chart will open up the 1.4500 area as a bearish target, an area which coincides with the 50.0 Fibonacci of the above mentioned move up.

Resistance Levels

• 1.5000– round number
• 1.4966- Nov 23rd high
• 1.4735 –Nov 9th High

Support Levels

• 1.4500- round number
• 1.4300 – Sept 30th High
• 1.4000 – Round number
• 1.3850 – July 24th High

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Thursday’s Nov 30th midday analysis -13.00 GMT

EurUsd failed to reach the 1.4800 resistance line and is beginning to show signs of an expanding triangle; the pair has entered into a consolidation range just above a support area and as it made smaller higher low on the 1 hour timeframe we have to be carefull regrading a down move.

Cable stalled just above the 2.0650 support and at the moment looks like its trying once again to move back into the the Asian session range between 2.0600 and 2.0650, a failure to this will give us a bullish signal and we might see the pair move higher towards the 50.0 Fib Line of the 2.0830/2.0600 at 2.0710.

EUR/USD Technical View

EurUsd formed a down bar on the daily charts yesterday but it has traded inside a small 50 points range since the start of the European session on Thursday, testing the 1.4700/1.4735 support area and not having enough strength to broke through it. Trading so close to a support zone makes us very cautious while we wait for a sign that will indicate either if the pair will break lower or if a new push towards the YTD highs will happen. A move below 1.4735 area and the up sloping trendline will signal a mid term bearish bias and we expect that after such a break a retest of the trendline mentioned by then turned into resistance.

Resistance Levels

• 1.5000– round number
• 1.4966- Nov 23rd high
• 1.4735 –Nov 9th High

Support Levels

• 1.4500- round number
• 1.4300 – Sept 30th High
• 1.4000 – Round number
• 1.3850 – July 24th High

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Thursday’s Nov 29th midday analysis -13.00 GMT

After bouncing from just above the 1.4700 area yesterday the pair found a high at the 23.6 Fib retracement line and started again to move lower, as we can see in the chart below EuruSd is once again closing in on the 1.4700 support and although the 1hr oscillators look oversold we are bearish on this pair and expect a break below support.

GbpUsd failed to reach it’s target on the break south of yesterday’s triangle formation and instead it printed a new high at 2.0830; after that we witnessed a sharp fall towards yesterday’s lows a level at which we are trading right now; so far the 2.0600 support line is holding the pair above it but the downside pressure will probably push it through towards the 2.0500 target area.

EUR/USD Technical View

EurUsd is trading close to the same levels it was when our previous commentary was written, but it has certainly moved a lot in the mean time; finding support at the 1.4700/1.4735 area on wednesday gave the pair an excellent reason to shoot back up above 1.4800 forming a hammer like candle on the daily charts closing the day a few points above the open, though the downside pressure was to big and the US dollar started to recover and we witnessed the pair falling back again towards the above mentioned support area. We are getting closer to the up sloping trendline marked on our chart which should offer additional support and can be a good base for yet another north recovery.

Resistance Levels

• 1.5000– round number
• 1.4966- Nov 23rd high
• 1.4735 –Nov 9th High

Support Levels

• 1.4500- round number
• 1.4300 – Sept 30th High
• 1.4000 – Round number
• 1.3850 – July 24th High

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EUR/USD Technical View

Euro tried to move higher on Tuesday but although it touched the 1.4900 level it failed to stay up there and started to move lower in the second part of the US session; the move continued in today’s Asian session and early European trading hours. The pair broke the 1.4800 support level and moved sharply towards the next support area at 1.4700/1.4735, a place where we are trading at the moment. A continuation south will have to push the pair through some tough support levels and an upsloping trendline that we have marked on the chart below, with that in mind we think EurUsd will slow down and trade around the current level for a while until we get some market moving data from the Us.

Resistance Levels

• 1.5000– round number
• 1.4966- Nov 23rd high
• 1.4735 –Nov 9th High

Support Levels

• 1.4500- round number
• 1.4300 – Sept 30th High
• 1.4000 – Round number
• 1.3850 – July 24th High

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Tuesday’s Nov 27th midday analysis -13.00 GMT

EurUsd traded inside yesterday’s range so far coming down from a high of 1.4880 and made a daily low at 1.4815. It’s clear that the market has entered into a small consolidation period on the smaller timeframes but we maintain for the moment our bullish sentiment while trading above 1.4800.

Cable printed a new high at 2.0755 before starting to move lower and found support at yesterday’s 50.0 Fib retracement line. While we’re waiting for the US session to begin the pair has tested the lows a few times and appears to make a new attempt of breaking south, below today’s low at 2.0665 we have the daily 2.0650 support level that should keep the pair from slipping.

EUR/USD Technical View

Euro traded between the 1.4800 support and 1.4900 resistance levels on Monday and has done so in today’s Asian session, both of the levels mentioned proved to be significant ones. While trading above 1.4800 the pair maintains its bullish bias but we have to be careful as we are in an overbought area on the daily charts and downside pressure is increasing. Getting above yesterday’s highs and above the 1.4900 round number will open up last weeks high at 1.4966 as the next target before the 1.5000 psychological level. Conversely a slip under 1.4800 will shift focus towards the 1.4700/1.4735 support area which is seen as the closest and most important place where a down move can find a base for reversal.

Resistance Levels

• 1.5000– round number
• 1.4966- Nov 23rd high
• 1.4735 –Nov 9th High

Support Levels

• 1.4500- round number
• 1.4300 – Sept 30th High
• 1.4000 – Round number
• 1.3850 – July 24th High

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