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1 Nov 2013
EUR/USD falling to pieces?
FXstreet.com (Chicago) - EUR/USD extends the bearish trendline from yesterday to now accumulate over 170 pips lost throughout the week.
According to the FXstreet.com analyst, Valeria Bednarik, “after non-dovish FED, a batch on negative European data finally took its’ toll on the EUR/USD sending the pair down to a daily low of 1.3583, where it stands. The strong drop in EU inflation was probably the main cause of this slide ahead on next week ECB meeting and the possibility of a more accommodative ECB stance then. The hourly chart shows no technical signs the pair is willing to correct higher, as indicators hold in oversold readings and price below 1.3600. In the 4 hours chart the bearish momentum also prevails, with a break below mentioned low, exposing 1.3540 in the short term.”
EUR/USD Technical Levels
Price action reveals the continuation of a steep fall after retracement from the 1.3820 zone. Offered at 1.3566, the pair bounces off 1.3560 lows and navigates between the supports aligned at 1.3548 (October 23rd highs), 1.3478 (October 15th lows) ahead of 1.34 (October 9th highs) and the resistances set at 1.36 (October 13th highs), 1.3649 (October 21st lows) followed by 1.37 (October 17th highs).
According to the FXstreet.com analyst, Valeria Bednarik, “after non-dovish FED, a batch on negative European data finally took its’ toll on the EUR/USD sending the pair down to a daily low of 1.3583, where it stands. The strong drop in EU inflation was probably the main cause of this slide ahead on next week ECB meeting and the possibility of a more accommodative ECB stance then. The hourly chart shows no technical signs the pair is willing to correct higher, as indicators hold in oversold readings and price below 1.3600. In the 4 hours chart the bearish momentum also prevails, with a break below mentioned low, exposing 1.3540 in the short term.”
EUR/USD Technical Levels
Price action reveals the continuation of a steep fall after retracement from the 1.3820 zone. Offered at 1.3566, the pair bounces off 1.3560 lows and navigates between the supports aligned at 1.3548 (October 23rd highs), 1.3478 (October 15th lows) ahead of 1.34 (October 9th highs) and the resistances set at 1.36 (October 13th highs), 1.3649 (October 21st lows) followed by 1.37 (October 17th highs).