Euro / Dollar Technical Forex Analysis for Forex Traders

The Euro broke the resistance specified in Friday’s report 1.3212, and successfully reached the first suggested target 1.3311, reaching the highest level in more the 3 month in the Dollar-aftermath which followed the coming out of the US monthly employment report. Technically, what is really important is that we came close on Friday to a very important trend line, and we are still around it: the trend line rising from June 29th low on hourly the chart, which is running at 1.3194. Therefore, we should keep eyes & mind open today, and consider all scenarios, and keep separate trading plans ready. If we test the above mentioned trend line, it will be the single most important technical to start the week with. As we said, this line is at 1.3194, and should not be broken in order to keep the technical outlook positive. But before we get ahead f ourselves, there is another important support at 1.3265, if broken we will target a test of the above mentioned line. And if it is also broken, we will witness a strong drop to 1.3118 at the very least. On the other hand, short term resistance is at 1.3306, and it is the key for more gains. If we break it, we will target
1.3383 & 1.3442. When approaching such an important trend line, the following move is usually massive, whether it is broken or it manages to reverse the direction. That is why we will focus our attention on this line, until it is broken to the downside, or the price shoots up very far from it!

Support:

• 1.3265: short term 38.2% Fibonacci.

• 1.3194: the rising trend line from Jun 29th low, the most important short term support.

• 1.3118: Aug 5th low.

Resistance:

• 1.3306: Fibonacci 61.8% for the drop from Friday’s top.

• 1.3383: Mar 31st low.

• 1.3442: Feb 19th important low.