02/25/09 4:46 pm - EURUSD: Slow upmove towards 1.2825

Downward momentum is slowing and I’m expecting sideways trading for the next few hours followed by a push towards 1.2770 followed by 1.2825. The pair broke out of a rising triangle formation, and the lower line of the previous triangle as well as the declining RSI trendline should limit the next up move. More upside can be expected should the pair break above 1.2825..50.

I plan on going long if 1.2690 holds and momentum turns up again. There’s risk of a move towards 1.2650 though since the pair is moving within a new triangle, and its lower line is formed by the lows of 2/18 and 2/20. Would prefer to buy a bounce off 1.2650.

Support: 1.2690 HSppt   1.2647 Fibo21, rising TL    1.2557 L-2-20

Resistance: 1.2771 Fibo50   1.2825 Fibo68, declining TL    1.2896 Fibo79, HRsst

RSI: bounced off support at 30, turning up, Dly: capped by resistance at 50

Hourly Chart:

February 25, 2009 · Filed under EUR/USD

1 Comment »

  1. David Said,

    February 25, 2009 @ 7:14 pm

    You could set some buy entries around 1.2660 – just in case price drops toward that area

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