EURUSD Daily Outlook 10 Aug 2012
After losing the key support mentioned in the previous report at 1.2340, see how the pair declined below 1.2300 and opened ways to 1.2165....
But remember , last Friday we had bullish breakout on daily chart at 1.2400 , this week the pair failed to maintain its move above 1.2400 ,and declined probably to get more momentum to continue its way up?!
Keep in mind as long as we have daily closing above 1.2165 , we have high opportunity to resume the upward move any moment , but in return losing 1.2165 with daily closing - weekly better - below this level may lead for strong bearish move toward 1.2000/1.1885 zones !!!
On the 4 hour chart , RSI showed that there's no enough momentum to resume the upward move, RSI now is approaching from oversold area , so we may witness pullback very soon !!
The last point is Williams on the 4 hour chart suggested bearish breakout at 1.2297 - resistance - the breakout is valid as long as 1.2357 holds , a clear break above this level might test 1.2443 zones !!!
Resistance : 1.2300 ,1.2360 , 1.2400 , 1.2440 , 1.2500
Support : 1.2270 ,1.2230 , 1.2200 , 1.2165 , 1.2130
Recommendations: Buying the pair around 1.2200 , targeting 1.2350 & 1.2500 , stop loss 1.2100
Best Regards
Haitham....
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Comment by Haitham653 on August 10, 2012 at 5:03pm -
Bullish breakout on the 60 min chart at 1.2316 , a bearish correction toward 1.2290 is suggested before resuming the bullish move , an hourly closing above 1.2316 is indeed to resume the bullish move testing 1.2400/40 zones...
But in return , the bullish breakout is valid as long as 1.2257 holds , a clear break below 1.2257 might delay the bullish move testing 1.2200/1.2165 zones....
In the bigger picture , according to daily chart , rebound from 1.2042 short term bottom is expected to resume sooner or later, break of 1.2443 will target 1.2747 (50% retracement of 1.3486 to 1.2042 at 1.2764) key resistance level next....
However, losing of 1.2165 will suggest that rebound from 1.2042 is merely a correction and has completed,then EUR/USD should test 1.2000 zones once again !!!
That's all for now see you next week !!!!
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