Forex Blog

EUR/USD daily chart is currently showing a good possibility of a bearish breakout from the range traded since April 22. You can see the present range on this picture below:

If the next trading day closes below the current support line (which is near 1.5379 level), there is a great possibility of a fast drop on EUR/USD down to about 1.5000 rate. On the other hand it can fall back from the current level and continue trading within the range. Anyway if the range persists, a closing bar below the lower bond will mean a strong bearish breakout, while a close above the upper bond wouldn’t necessarily mean a bullish breakout.

Tags: EUR/USD, Forex strategy, technical analysis

This entry was posted on Sunday, June 15th, 2008 at 9:29 am. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.