Currency Technical Report

George Antonakos from FXGreece at 10/14/09

EUR/USD

Resistance:1,4890-00/ 1,4920-30/ 1,4950-60/ 1,4970-80/ 1,5000-10/ 1,5050/ 1,5080/ 1,5110
Support :1,4850-60/ 1,4810-15/ 1,4790/ 1,4770/ 1,4750-60/ 1,4700

Comment : Dollar is still under pressure, and as a result euro is moving to new tops, close to 1,4900 area, confirming our basic scenario. Next target should be at 1,5100 area or higher.
After yesterday’s tops, important resistance levels have been reached for the short term, as you can see in the 4 hour and hourly chart. This indicates that a corrective move or a sideways formation between 1.4800-10 and 1.4890-00, is possible. A move above 1,4900, without a previous retracement below 1,4850, confirms the bullish strength, and a move towards 1,4930-60 would be possible . Next targets are set at 1,5000 and 1,5080-5100, which is the basic target from the break of the wider 3month consolidation.
First intraday support emerges at 1,4860-70, followed by a more important at 1,4800-10. Below 1,4800 next target will be at 1,4750-60, which is the range for the upward scenario.
For now, gold is moving to new tops, crude oil and stock indices are testing their highs and we are cautious regarding the retracements until we see some clear reversal signs…

Comment : Dollar is still under pressure, and as a result euro is moving to new tops, close to 1,4900 area, confirming our basic scenario. Next target should be at 1,5100 area or higher.
After yesterday’s tops, important resistance levels have been reached for the short term, as you can see in the 4 hour and hourly chart. This indicates that a corrective move or a sideways formation between 1.4800-10 and 1.4890-00, is possible. A move above 1,4900, without a previous retracement below 1,4850, confirms the bullish strength, and a move towards 1,4930-60 would be possible . Next targets are set at 1,5000 and 1,5080-5100, which is the basic target from the break of the wider 3month consolidation.
First intraday support emerges at 1,4860-70, followed by a more important at 1,4800-10. Below 1,4800 next target will be at 1,4750-60, which is the range for the upward scenario.
For now, gold is moving to new tops, crude oil and stock indices are testing their highs and we are cautious regarding the retracements until we see some clear reversal signs…

*STRATEGY: We will follow the trend, trying buy orders at the retracements towards 1,4850 and 1,4815 area, placing stops below 1,4750. Our target will be at 1,4930-50.
Sell orders will be tried at 1,4930 area, only with the intention to add positions at 1,4970, with stops above 1,5000. Our target will be at 1,4850…

*The above mentioned strategy refers to orders that we may follow for personal accounts, depending on the market analysis and the potential reach of resistance and support levels. We do not encourage buy or sell orders, as its effective use is based on correct risk management and the ability of position readjustment depending on current conditions...
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