8 Apr 2014
EUR/USD dreaming again of 1.4000 - FXStreet
FXStreet (Barcelona) - Valeria Bednarik, FXStreet Chief Analyst comments that a misleading headline from a news agency on Draghi along with UK positive data early European opening, is keeping the dollar under strong selling pressure all through the FX board.
Key Quotes
“The EUR/USD is up albeit subdued compared to other majors, 30 pips higher and nearing 1.3780 key resistance level. But the fact that the long term ascendant trend line held on Friday and price continues recovering from such major long term support, suggest the bullish trend remains quite healthy, and market players may start dreaming again with 1.4000.”
“Nevertheless, the technical picture has turned slightly bullish for the pair, with the 4 hours chart showing indicators heading north above their midlines and maintaining a bullish slope with a new candle opening.”
“The pair however, is being capped intraday by its 200 EMA a couple pips below the strong Fibonacci level and needs to take stops above it to be able to extend its advance towards the 1.3830 price zone, where several intraday highs converge with a daily descendant trend line coming from this year high of 1.3966.”
“Failure around 1.3780 will probably see the pair easing back towards 1.3720/30 price zone, yet will only below the 1.3700 figure, not likely for today, that the upside potential will be denied and the pair will be exposed to further falls.”
Key Quotes
“The EUR/USD is up albeit subdued compared to other majors, 30 pips higher and nearing 1.3780 key resistance level. But the fact that the long term ascendant trend line held on Friday and price continues recovering from such major long term support, suggest the bullish trend remains quite healthy, and market players may start dreaming again with 1.4000.”
“Nevertheless, the technical picture has turned slightly bullish for the pair, with the 4 hours chart showing indicators heading north above their midlines and maintaining a bullish slope with a new candle opening.”
“The pair however, is being capped intraday by its 200 EMA a couple pips below the strong Fibonacci level and needs to take stops above it to be able to extend its advance towards the 1.3830 price zone, where several intraday highs converge with a daily descendant trend line coming from this year high of 1.3966.”
“Failure around 1.3780 will probably see the pair easing back towards 1.3720/30 price zone, yet will only below the 1.3700 figure, not likely for today, that the upside potential will be denied and the pair will be exposed to further falls.”