23 Aug 2013
EUR/USD shows signs of exhaustion, key support in jeopardy
FXstreet.com (New York) - The EUR/USD foreign exchange rate has pointed lower Friday, unable to shake a bout of negativity that has gripped the pair during US trading, driving it towards key support.
EUR/USD strategic bias
According to Axel Rudolph, an analyst at Commerzbank, “The negative divergence seen between the daily RSI and the EUR/USD's current August high at 1.3453 points to a top being formed. Confirmation of this would be a drop through the steep two-month support line at 1.3307 and a fall through Tuesday’s 1.3323 low. Only a drop through the next lower 1.3208/1.3188 support area will mean that a significant top has indeed been made. Should an unexpected rise above the 1.3427 Wednesday high be seen, though, our view will probably be incorrect.
EUR/USD technical levels
The EUR/USD is trading within a few pips of its intraday lows (1.3333), and with a lack of impetus from any US data or indicators Friday, investors will continue to trade on broader terms. At this juncture the pair is navigating the region of 1.3338. In terms of the technical levels, the EUR/USD will look to test support at 1.3306, a break of which will open up 1.3264, and 1.3231, the Mataf.net analyst team.
EUR/USD strategic bias
According to Axel Rudolph, an analyst at Commerzbank, “The negative divergence seen between the daily RSI and the EUR/USD's current August high at 1.3453 points to a top being formed. Confirmation of this would be a drop through the steep two-month support line at 1.3307 and a fall through Tuesday’s 1.3323 low. Only a drop through the next lower 1.3208/1.3188 support area will mean that a significant top has indeed been made. Should an unexpected rise above the 1.3427 Wednesday high be seen, though, our view will probably be incorrect.
EUR/USD technical levels
The EUR/USD is trading within a few pips of its intraday lows (1.3333), and with a lack of impetus from any US data or indicators Friday, investors will continue to trade on broader terms. At this juncture the pair is navigating the region of 1.3338. In terms of the technical levels, the EUR/USD will look to test support at 1.3306, a break of which will open up 1.3264, and 1.3231, the Mataf.net analyst team.