Friday, 21 August 2015

EUR/USD capped at high resistance – levels to watch

Apparently, some technical lines go back as far as November 2003. Yes, that’s nearly 12 years ago. The 1.1373 line had a role back then and also in recent months when the euro revisited these levels.
And once again, the recent rally, ignited by the global gloom and its 3 dark horses sent the pair to tackle this exact level, so far without success. What other levels should we be watching?
A break of 1.1373 could happen if the mood doesn’t improve during the weekend. The clear line above is 1.1460, which was the highest level the pair has seen since hitting the multi-decade lows of 1.0462. This is key resistance.
Higher above, the round 1.15 level is not that important, but just above, 1.1535 is a clear separator of ranges, working as such back in January. Even higher, euro/dollar hit resistance at 1.1680, just below its launch value at 1.17.
And if the move is rejected, we have minor support at 1.1340 followed by 1.1290, which capped the pair just now.
Below, the round number of 1.12 serves as some support. 1.1130 follows but the really strong line is now 1.1030.
Here is the daily chart:
EURUSD technical analysis August 24 28 2015 euro dollar fundamental outlook and sentiment

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