EUR landed very gently over the 1.3030 support line, touched that line and is now preparing for a take off, it's a little bit early, but investors' lack of patience for new gains moves the market at the moment. I'm writing this forecast before the H4 close, but it's very possible to close the latest candle above 1.3060. Yesterday Germany's ZEV wasn't so bad, even signals from it were positive, US data also wasn't so bad, and that equaled the powers of both currencies. For today there is a lack of market moving news and the most possible scenario for me today is a choppy trade between 1.3030 and 1.3090 where passes MA14 on H4 time frame. If we look at the economic calendar we can see that Thursday offers a lot more possibilities for moving the market, and on Friday there will be profit taking.
Downside is also possible especially if Spain requests officially a financial support. Then we shall drop to 1.29 or even below. For today the most important support is 1.3030. Breaking below will place the start of EUR sell, which may increase below 1.3000 and to lead us to 1.2940, if no any news from Spain, use that to BUY.
GOLD has stabilized after recent profit taking, and prepares for the next leg UP, let me tell you something interesting which daily chart shows - take a look on Daily since 15.08.2012, you will see thare are 4 almost equal upside moves after short almost equal periods, the periods of consolidation last 4 days, and the upside following them is of about 60 USD. This makes the GOLD pretty much predictable. But this is only one interesting thing, do not use that fact for your investments, and follow the current situation. GOLD is approaching 1780-1800 strong resistance area which will take some time to pass. A correction from 1790 level is also possible, it may go to 1710 again so open LONG above 1770 with 6-7 USD SL. Do not allow more loss than 8 USD, it it goes 8 USD against you, better stop and exit.
For today enter LONG EUR above 1.3030 with 30 pips SL, if hit enter LONG again on a cheaper EUR, if not any EUR negative news it will be hard to fall below 1.2980. On the upside add to LONGs above 1.3090-00 for 1.3170 and above.