EURUSD: Still Bearish Short Term Despite Recovery Attempts.

Jan 18, 2012
EURUSD: We are still holding our downside view on EUR despite its attempts at recovering higher. This is consistent with its weakness triggered off the 1.3415 level. A failed recovery could see it recapture the 1.2982 level where a break will resume its weakness towards the 1.2918 level. Below here will aim the 1.2850 level and then the 1.2800 level. On the other hand, the pair will have to recapture the 1.3254 level to signal an end to its corrective weakness. This if it occurs will set the stage for more upside towards the 1.3318 and then the 1.3415 level. Above here will resume its broader upside towards the 1.3450 level. All in all, EUR continues to retain its medium term upside bias but faces bear threats correction.