Discussion in 'Forex' started by AceTraderFX, Oct 31, 2007.

  1. Updating time : 31/10/2007 00:00 GMT

    EUR/USD - 1.4437...Despite a brief breach of 1.4377 (Monday's low) in European morning y'day, the single currency found renewed buying interest n rose to a fresh record high at 1.4442 in line with the greenback's selloff esp vs other European currencies ahead of the Fed's expected rate cut later today.

    Today, as price is trading abv both 21-hr n 55-hr emas, MT uptrend is expected to resume after consolidation, yield further gain twds 1.4477 (50% proj. of 1.3360-1.4283 fm 1.4015) but as 13-hr rsi is already in o/bot territory, strg gain abv 1.4500 (50% proj. of 1.4188-1.4439 fm 1.4374) wud not be seen n 1.4529 (61.8% proj. of 1.4188-1.4439 fm 1.4374) wud cap upside, yield minor correction. Therefore, while buying on pullback is recommended, readers shud take profit on upmove as 'buy on rumour, sell on fact' may lead to long liquidation of euro n other ccys after the Fed announces its rate decision at 18:15GMT.

    Below 1.4349 (prev. res) wud signal a temporary top has been formed n risk correction to 1.4315 (50% r of 1.4188-1.4442, adjust latter lvl if necessary) but 1.4287 shud contain downside n bring another rise 'later'...