22 Dec 2014
EUR/USD likely to be sold on rallies – FXStreet
FXStreet (Barcelona) - FXStreet Editor and Analyst, Omkar Godbole, notes that the technical indicators point towards the probability that the EUR/USD pair is likely to be sold on rallies, as it witnesses a minor bounce today after Friday’s low at 1.2226.
Key Quotes
“The EUR/USD pair finished lower on Friday at 1.2226; well below the latest cyclical low of 1.2247. The sharp decline in the last three trading sessions pushed the daily RSI back below 50.00 levels. Minor bounce is being witnessed today after the pair tested the 200 month moving average located at 1.2231 levels.”
“The pair currently trades at 1.2247 levels with the hourly RSI bearish at 46.00 levels. A fresh demand for Euros can be anticipated if the pair sustains above 1.2247. In such case, the pair may re-test 1.2275 levels. However, given the daily RSI has breached the rising trend line, the pair is likely to be sold on rallies.”
“Meanwhile, the 200 month moving average at 1.2231 shall continue to act as a strong support. Thus, a daily close below 1.2231 shall open doors for a further weakness in the pair. Overall, the pair is likely to trade in the range of 1.2230 to 1.2275 levels today.”
Key Quotes
“The EUR/USD pair finished lower on Friday at 1.2226; well below the latest cyclical low of 1.2247. The sharp decline in the last three trading sessions pushed the daily RSI back below 50.00 levels. Minor bounce is being witnessed today after the pair tested the 200 month moving average located at 1.2231 levels.”
“The pair currently trades at 1.2247 levels with the hourly RSI bearish at 46.00 levels. A fresh demand for Euros can be anticipated if the pair sustains above 1.2247. In such case, the pair may re-test 1.2275 levels. However, given the daily RSI has breached the rising trend line, the pair is likely to be sold on rallies.”
“Meanwhile, the 200 month moving average at 1.2231 shall continue to act as a strong support. Thus, a daily close below 1.2231 shall open doors for a further weakness in the pair. Overall, the pair is likely to trade in the range of 1.2230 to 1.2275 levels today.”