Euro Dollar

As we have expected, the rise stopped between 1.4620 & 1.4667, and from there we have seen a correction that reached 1.4515 until this very moment. We still believe that this correction is targeting 1.4459 at the very least, and that it could go all the way to 1.4357. But, before we feel over-excited for this correction we should see a break of short-term support 1.4501, and after that we can talk about the ideal targets such as 1.4459, 1.4408, or 1.4357. On the other hand, the resistance that should not be broken to keep the big probability of this correction is Fibonacci 61.8% for the short-term 1.4589, staying below it will favor this correction, while breaking it will mean another attempt to reach the top of the rising channel which is at 1.4671 for today.

Support:

• 1.4501: Thursday's low.

• 1.4459: Fibonacci 38.2% retracement level for the whole move up from 1.4190.

• 1.4408: Fibonacci 50% retracement level for the whole move up from 1.4190. And if this level is broken 1.4357 would become the most important support for determining short-term trend, and may be medium-term as well.

Resistance:

• 1.4589: Fibonacci 61.8% for short-term.

• 1.4671: the top of the current channel on the hourly chart.

• 1.4720: the unforgettable top of December 2008.

Forex trading analysis by www.forexpros.com - Written by Munther Marji