Tuesday, July 19, 2011

EUR/USD: Rallying into Resistance - 19 July 2011

The exchnage rate has leapt higher and if it can break through resistance from the lower borderline of the triangle then it could signal a reversal - however it is too early to say yet whether that will happen. 

The next target higher would be at 1.4300 where there is a cluster of moving averages, however a resumption of the bearish trend would be expected to find support at the old lows: firstly 1.4015 and then 1.3840.

Analysis prepared by:
Joaquin Monfort
Forex4you analyst