Forex4you Technical Analysis 08 August 2011

EUR/USD: Technical Analysis

Support 1.4260/50 was breached, indicating that a downtrend has eventually took over. The price descended to level 1.4130/20, mentioned in the previous analysis as the first target on the way down, and it now resides a bit above this level at 1.4150/60. Trading has already made it below 1.4130/20 level, which proves the bearish strong potential and gives reasons to expect further attempts to bring the price lower, to 1.4000 support level. Indicators are unclear. The first signal for further decline will be  fixation below 1.4120/1.4090 level. The first stop in this case is expected at level 1.4000, and then around 1.3850/60. The bulls will take the leading positions only in case they manage to lift the price above 1.4260 level, or even above 1.4380/90.

Analysis by: Joaquin Monfort    

                    Forex4you analyst
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