November 13, 2008 04:56

Technical Analysis – EUR/USD Still Selling Rallies

By:

11-13-08

3:53a GMT – The EUR/USD remains bearish though has been finding support in the short term at 1.2450. A good leading indicator to watch tomorrow will be the US stock markets. If the markets go down I expect the dollar to gain strength as traders look for the safety of currency, and if it goes up look for euro strength. Regardless this pair remains technically down on the short and mid-term charts with a break below 1.2300 opening the way for significant losses.

Trading Idea: shorts preferred and looking to sell rallies around resistance levels currently between 1.2620-1.2650. Short targets at 1.2575, 1.2500, 1.2450 and down to 1.2365.

(click to enlarge)

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