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Author Topic: EUR/USD Daily Outlook  (Read 2523 times)
pranjali
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« on: March 18, 2010, 04:41:05 am »

No change in EUR/USD's outlook. Price actions from 1.3443 are treated as consolidation to the larger down trend only. While such consolidation might extend further with another rise, upside is expected to be limited by 1.3852 (38.2% retracement of 1.4578 to 1.3443 at 1.3861) and bring down trend resumption. Below 1.3641 minor support will argue that such consolidation is finished and will flip intraday bias to the downside for retesting 1.3435 low. Break will confirm that whole fall from 1.5143 high has resumed.

In the bigger picture, outlook remains unchanged. The three wave rise from 1.2329 is treated as consolidation to fall from 1.6039 only and should have completed at 1.5143 already. Fall from 1.5143 is tentatively treated as resumption of the whole down trend form 1.6039 and should target a new low below 1.2329. Break of 1.4217 support turned resistance is needed to invalidate this bearish view. Otherwise, we'd expect fall 1.5143 to continue even in case of strong rebound.

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