Thursday, February 19, 2009

Euro - Former support should act as resistance

This is the daily chart for Eur-USD

1.2700-1.2750 area was the support from where prices had bounced off 3 times in the past fortnight. Finally it gave in on Monday & has not been able to break back above it since. When & if price action reaches up to that area, it should face selling pressure again. Take a short position at 1.27 with target towards lows made in 2008 near 1.22