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EURUSD stays within a downward price channel

Discussion in 'Technical Analysis' started by ForexCycle.com, Feb 28, 2013.

  1. ForexCycle.com

    ForexCycle.com Content Contributor

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    EURUSD stays within a downward price channel on 4-hour chart and remains in downtrend from 1.3711, the price action from 1.3018 could be treated as consolidation of the downtrend. Resistance is at the upper line of the channel, as long as the channel resistance holds, the downtrend could be expected to resume, and another fall to 1.2900 area is still possible. Key resistance is now at 1.3160, a break above this level will indicate that a cycle bottom has been formed at 1.3018, and the downward movement from 1.3711 has completed, then the following upward move could bring price back towards 1.4000.

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  2. autotrader1

    autotrader1 New Member

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    Euro Dollar / US Dollar broke below the downside support level of 1.31, 1 day ago. This is a bearish sign. This previous support level of 1.31 may now provide upside resistance. Prices having only declined 0.31% since the breakout, the validity of the breakout is questionable. The most recently confirmed upside resistance level for Euro Dollar / US Dollar is around 1.34. Expect prices to have some difficulty rising above this level. A break above this level would be a bullish sign.
     
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